UNIT 1 MANAGEMENT OF BUSINESS Crystal Cassie WEBSITE: http://batcemob.weebly.

com/ REFERENCE TEXTS: CAPE Management of Business: Kathleen Singh, Peter Stimpson Business Studies: Bruce R Jewell Business Studies: Dave Hall, Rob Jones, Carlo Raffo, Alain Anderton

MODULE 1: Business and its Environment

Week Objectives Content Teaching/learning strategy Assessment

Distinguish between different types of economic activity Compare the different types of business organisations based on economic sectors and legal structures

Types of economic activity Classification of economic activity: primary, secondary, tertiary

3 groups Creating posters on each sector with relevant examples Group project and presentations sole trader partnerships private limited company public limited company co-operative enterprises franchises joint ventures public corporations statutory boards charities non-government organisations Privatization and nationalisation 2012 Q2 2009 Q1 JULY 2008 Q2 2004 Q1

Economic sectors and legal structures Main features including ability to raise finance, appropriateness of legal structures, problem from changing from one legal structure to another, advantages and disadvantages Private sector organisations: sole trader, partnerships, private limited company, public limited company, co-operative enterprises, franchises, joint ventures (legal element governing formation, financing and management) Public sector organisations: public corporations, statutory boards Non for profit organisations: charities, non-government organisations Privatization and nationalisation

Explain the importance of setting business objectives

Business Objectives The nature, role and importance of business objectives Short and long term objectives Hierarchy of objectives: vision, mission statements, strategic, tactical and operational objectives

Write 3 objectives for yourself, for life, career and relationships PPT

2011 Q2 2010 Q1 A 2005 Q2 2001 Q1

Explain the

Business Ethics and Corporate Social Responsibility

Video case studies

2010 Q2

importance of ethics and social responsibility in setting business objectives Discuss the process of decision making in business organisations

Importance of business ethics and integrity, code of ethics Obligations Good Corporate Governance

Investigate CSR by 2 companies in T&T

Decision Making Process of decision making: nature of decision making, essential features of information for decision making (accuracy, timeliness, relevance and cost effectiveness) Stages of decision making (in relation to objectives): definition of problem, data collection (importance and sources), analysis and evaluation, formulation of alternative strategies, implementation, evaluation Factors affecting decision making: governmental, political and legal, social and cultural, technological, economic, ecological, human and natural constraints Impact of Globalisation on Business Multinational (growth, advantages and disadvantages) Role of government: facilitating, enabling environment, developing necessary legal framework Consumer behavior: choices, quality, responsibility Domestic business: competition, pricing policy, quality assurance Trade liberalization

PPT on decision making Subway case study: PESTLE

2012 Q1 A 2011 Q1 B MAY 2008 Q2 2005 Q1 2004 Q2 2002 Q2

Evaluate the impact of globalization on Caribbean Business Organisations

How does globalization affect you? 5 ways Concept map

2012 Q1 2009 Q2 JULY 2008 Q1 MAY 2008 Q1 2007 Q1 2006 Q1 2003 Q1 2001 Q2

MODULE 2: The Management of People

Week Objectives Content Teaching/learning strategy Assessment

Evaluate the contributions of management theories to present day organisations

The Functions and Theories of Management Evolution of Management theories (principles and contributions to modern day organisations): Classical model (FW Taylor, Henri Fayol, Max Weber), Human relations model (Elton Mayo), Systems Model (open, closed, synergy, entrophy), Contingency approach Functions of Management (Definition and application): planning, organizing, leading, controlling, staffing Organisational Structure Classification of organizational structure (principles, advantages and disadvantages): by function, by product, geographical market, matrix, team, network Characteristics of the formal organizational structure: hierarchy, chain of command, span of control, line and staff relationship, responsibility, authority, accountability, delegation, centralization, decentralization Theory and Application of Motivation Factors that stimulate and influence motivation: individual needs, ability to make choices, environmental opportunities Theories of motivation: Maslows Hierarchy of Needs, Herzbergs Hygiene Theory Financial and non-financial motivational strategies: financial incentives (payment systems and their effectiveness, appraisal, job valuation and work study), non-financial incentives (individual job needs, participation, job satisfaction, job enrichment and job enlargement, self-motivation, opportunities for promotion) Implications to managers: getting the best out of individuals, appreciation of work and appropriate reward systems

Group presentations: Videos on how each theory would actually be simulated in the workplace

2009 Q3 JULY 2008 Q4 2004 Q3 2002 Q3

Explain the features of the formal organizational structure

PPT

MAY 2008 Q4 2003 Q3

Explain the theories and practices of motivation

What motivates you? Discussion PPTs

2011 Q3

Differentiate

Leadership

Name 5 leaders

2012 Q4

between types of leadership skills, styles

10

Describe the group formation process, characteristics and importance of effective teams

11

11

Assess the effectiveness of strategies in resolving conflict in organizations Describe potential strategies to resolve conflict in organisations

Definition of leadership Leadership theory: McGregors Theory X and Y, Traits Theory Leadership skills including communication, problem solving, critical thinking Leadership styles (definition, appropriateness): autocratic, democratic, laissez faire, transformational Informal leadership, its influence on the organization (definition of informal leadership, advantages and disadvantages of informal leadership Group and Team Management Definition of teams/groups Stages of group development (dynamics): forming, storming, norming, performing, adjourning Characteristics of effective teams: commitment, participation, trust, decision by consensus, flexibility, encouragement, support and growth Forces that influence group cohesiveness (including size, group goals, similarities, diversity, attraction) Advantages and disadvantages of teams to the organisations Causes of conflict Management style Competition for scarce resources Lack of communication Clash of personalities Strategies to manage conflict Avoidance Smoothing Compromise Collaboration Confrontation

Are leaders made or born? Are you theory X or Y? Roleplay PPT Do you enjoy working in teams: why or why not? Brainstorming PPT

2010 Q3 2003 Q4 2001 Q4

JULY 2008 Q3 A,B MAY 2008 Q3 2005 Q4

Roleplay

JULY 2008 Q3 C

Roleplay

2012 Q4 2005 Q3 2002 Q4

Term 2

Justify the need

Management of change

Changing seats

2009 Q4

to cope with, as well to lead and manage, change in the organisation

Nature of change: technical, economic, demographic, social and legal Resistance to change: fear, disrupted, loss of control and confidence, poor training, redistribution of workload and lack of purpose. Loss of power, lack of communication Strategies to manage change Pass the message PPT

2006 Q4

Explain the importance of effective communication in organisations

Communication in Business Diagram of the communication process Communication methods (oral, written, visual, non-verbal electronic media including internet, email, intranet, fax, videoconferencing) Reducing barriers to communication (ensure clear message, choice of channel, managing feedback, improving physical conditions) Lines of communication: formal channel (vertical and horizontal), informal channel, problems associated with formal channel, formal vs informal channels Barriers to effective communication: selective perceptions, attitudes, noise, cultural bias Human Resource Management The role of the human resource management in an organization: attracting, developing and maintaining an effective workforce Functions of the human resources department: recruitment (internal, external), selection (application, interviews, testing), compensation (wages, salaries, pension fund, health insurance), training and development (training vs development: on and off the job training), performance management (performance appraisal: fairness, participative, feedback, periodic)

2011 Q4 2007 Q3 2006 Q3

Evaluate the importance of human resource management in organisations

Simulation of the hiring process

2012 Q3 2010 Q4 2007 Q4 2004 Q4 2001 Q3

MODULE 3: Business Finance and Accounting

Week Objectives Content Teaching/learning strategy Assessment

Explain the various need for funds

The Need for capital Start up or venture capital Working capital Investment capital Sources of finance Equity vs debt Forms of equity: capital and shares Forms of debt: debentures and bonds Criteria for seeking finance Sources of short term finance: trade creditors and commercial banks Sources of long term finance: commercial and development banks, venture capital funds, small business associations, development funds and family Short term vs long term sources of finance Money and capital markets and International Financial Institutions Roles of regional and international financial institutions: CDB, IDB, IMF and World Bank (provide technical and managerial advice, conduct feasibility studies and economic appraisal of countries) Functioning and workings of Money and Capital Markets: working knowledge of Stock exchange with reference to the Caribbean

PPT

Differentiate among the main sources of finance

PPT

Explain the main criteria that businesses use when seeking short and long term financing

PPT

Explain the roles, functioning and working of money and capital markets and international financial institutions with special reference to the Caribbean Explain the importance of accounting information for both internal and external users Explain the

Group presentations

The Need for Accounting information Definition of accounting Users of accounting information (stakeholders including financial institutions, suppliers/creditors, managers, investors

Notes and practice

Components of Financial Statements

Notes and practice

different components of financial statements

Working knowledge of components of financial statements: income statement (including sales, cost of sale, gross profit, net profit), Balance sheet (including fixed assets, current assets, current liabilities, fixed liabilities, owners equity) Relation between statement of financial position and statement of comprehensive income Notes and practice

10

Interpret and analyse key financial statements through the use of ratio analysis

Financial Statements Analysis Use of accounting ratios Advantages and disadvantages of ratio analysis Limitations of ratio analysis Calculation and interpretation of types of ratios: liquidity ratios (current and acid test ratio), profitability ratios (gross profit margin/net profit margin/returning on capital employed ROCE), efficiency/activity ratios (stock turnover ratio/debtor day ratio), gearing ratio (debt/capital employed: capital employed=fixed assets+(current assets-current liabilities) (debt long term debt), investors/shareholders ratios (dividend yield and earnings per share) Budgets and Budgetary Control Type of budget Importance of budgeting (usefulness and limitations) Budgetary control (methods and reasons for variances) Investment Appraisal Need for investment appraisal Analytical methods of appraisal: payback period: average rate of return, net present value (meaning, interpretation and simple calculations required) Comparisons of methods of appraisal

11

Explain the purpose, nature and usefulness of budgeting Explain the various methods used by a firm in selecting the most appropriate investment option

Notes and practice

12

Notes and practice

TESTS EVERY THREE TOPICS