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Past Paper Questions. Higher and Intermediate 2 Business Management. DECISION MAKING IN BUSINESS. Types of Decisions. HIGHER 2010 Q 5a ( i&ii ) A manager decides to grant a worker’s request to have a week’s holiday. Identify and justify this type of decision. (2)
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Past Paper Questions Higher and Intermediate 2 Business Management DECISION MAKING IN BUSINESS
Types of Decisions • HIGHER • 2010 Q 5a (i&ii) • A manager decides to grant a worker’s request to have a week’s holiday. Identify and justify this type of decision. (2) • Describe 2 other types of decision and give an example of each. • (4) • INT 2 • 2007 Q3d • Describe and give an example of the 3 main types of decisions which large organisations frequently have to make. (6)
Types of decisions • HIGHER • 2011 Q1a & 2009 Q3e • Distinguish between a strategic and a tactical decision (3) • Justify why strategic decisions are made by senior managers • (3) • INT 2 • 2005 Q1B • Managers make strategic, tactical and operational decisions. Explain each of these decisions and give an example of each type in relation to a McDonald’s fast food chain. (6)
Role of Managers • HIGHER • 2003 Q 1d • Describe the role of managers in achieving the objectives of an organisation (7) • INTERMEDIATE 2 • 2011 Q1d(ii) • Describe the role of a manager in an organisation (4)
SOLUTIONS – int2 2011 Q1d(ii) • (ii) Describe the role of a manager in an organisation. • To make appropriate decisions for an organisation. • To plan for the future of an organisation. • To ensure that resources are in the right place at the right time. • To give staff instructions. • To oversee the running of the organisation so that it meets its objectives. • To delegate appropriate work to staff. • To motivate staff to do their best at all times. • 1 mark for each role (4)
Structured decision making • HIGHER • 2008 Q5c • Describe how a manager could evaluate the effectiveness of a decision . (4) • INTERMEDIATE 2 • 2010Q4a(i) • Outline 5 stages of a structured decision making model (5)
Decision making solutions – int 2 • 2010Q4a(i) • 4. (a) (i) Outline 5 stages of a decision making model. • • Identify the problem. • • Identify the objectives. • • Identify the constraints. • • Gather information. • • Analyse the information gathered. • • Devise possible solutions. • • Select the best solution. • • Communicate the decision. • • Plan and implement the decision. • • Evaluate the effectiveness of the decision. • 1 mark per stage. • Order irrelevant if clear stages (5)
Structured decision making • HIGHER • D2012 Q4e • Explain the advantages and disadvantages of using a structured decision making model. (5)
Decision making Constraints • HIGHER • 2004 Q4d(i) • Describe the internal and external factors that which may prevent the achievement of an objective. (6)
Decentralised decision making HIGHER 2012 Q5 Distinguish between centralised and decentralised decision making. (5) INT 2 2011 Q3c(ii) Describe the advantages and disadvantages of decentralised decision making (4)
Pestec factors • HIGHER • 2009 Q2C • Explain how external factors may affect an organisation (6) • 2011 Q1E • Explain the effects that 3 political factors could have on an organisation (different effect each time) (3) • Describe 4 external factors (other than political) that could have an impact on an organisation (4) • INT 2 • 2009 Q5c • Identify 4 external factors that may cause change (4) • 2011 Q3D • Explain the effects of external factors on an organisation (4)
