Studied by 18 people
The "what you should know" sections
Why people work (motivations to work)
Money
Essential income: Money earned to live on
Disposable income: Money earned to spend on luxuries after essential income has been spent on living expenses
Security
Financial security to pay for the goods and services they need now and in the future without worrying about running out
Belonging
Form friendships and have a peer group to share ideas with at work
Personal development
New skills at work or the opportunity to prove themselves by taking on extra responsibilities or through promotion
Recognition
Receive positive feedback from managers => raise self-esteem
The benefits of a well-motivated workforce
Labour productivity
Employees motivated => work harder => increased output => lowers cost of producing goods => increase profit from selling those goods
Reduced absenteeism
Employees happy at work => less likely to take time off for no reason
High level of attendance => more productive
Labour turnover (number of people who leave the organisation in one year)
Employees unhappy at work => leave to find better job => business will have to pay recruitment costs to replace them
Business reputation
Motivated employees => good employer reputation to business => attracts better employees (more productive and need less training, highly skilled employees) => new ideas for the business
Improved workforce relations
Motivated employees => less likely to cause industrial acton
Industrial action causes major problems for business:
Slowing down production => dissatisfied customers =>loss of potential customers to competitors
Maslow’s hierarchy (the concept of human needs)
Believed people are motivation by having their needs met
People start at the bottom of the hierarchy and as each need is met, they move onto the next level
Can help managers provide the right conditions for the needs of their employees to be met
(Most important to least important)
Physiological needs (food, water, clothing, shelter)
Anything needed for survival or to function in daily life
Safety and security needs (job security, security guards, health and safety laws)
Anything that provides physical safety or security
Social needs
Anything that allows ppl to mix, socialise, form friendships and find acceptance
Esteem needs
Anything that allows people to find respect and achievement through the recognition of others
Self-actualisation
Anything that allows someone to fulfil their full potential through the achievement of their personal goals
Benefits:
Simple and easy to understand bc most people can relate to it
Can be applied to a wide range of industries bc most employees wamt similar things
Limitations:
Assumes all needs have to be met in this order (which isn’t always true)
cultural differences between countries => affects the needs of employees
Taylor’s theory
Taylor broke up production into small, simple tasks by using division of labour and had individual employees specialise in those roles (scientific management)
Develop a science for each element of work (understanding the best way for the worker to work productively and efficiently)
Scientifically select, train, teach and develop the worker
Cooperate with the worker
Divide the work and responsibility
He measured their productivity and noticed employees’ output increased when they were offered pay and their output fell when their pay was reduced
Employees are only motivated by money
Benefits:
Reduces the cost of production bc the fixed costs are spread over a wider number of units produced (the more employees output, the less productions costs)
Employees will be motivated to work harder if they feel they can get higher levels of pay
Fewer resources are wasted because employees make fewer mistakes (since their pay is based on output)
Limitations:
Assumes all employees are only motivated by money which isn’t always true
If the employee’s output isn’t measurable, it’s difficult to see if increased pay is motivating them
Sometimes the process of breaking up the job into specialised tasks can become repetitive and boring
Herzberg’s theory
All factors linked to a motivated workforce could be split into 2 groups:
Hygiene factors: factors that will demotivate if they’re not present or taken away but don’t increase motivation if they’re increased
Ex.) Pay, working conditions, supervision, relationships with co-workers, fringe conditions (benefits that employees receive in addition to their salary, such as a company car or access to childcare)
Motivational factors: factors that improve motivation if they are improved or increased
Ex.) Meaningful or challenging work, responsibility, potential for promotion or advancement, good quality training, recognition or achievement
Benefits:
More flexible than Taylorism bc a wider range of factors is considered
Relatively simple to understand => easy for managers to use
Recognises for different people are motivated by different factors
Limitations:
Assumes people aren’t motivated by money which isn’t always true
Doesn’t take into account how the factors that motivate employees can change overtime
Assumes all employees are ambitious for promotion or self-improvement which isn’t always true
Financial rewards of motivation
Wage: amount of money to employees based on the amount of work produced
Time-based rates: a fixed amount of money for each hour they work
Piece-rate system: paid based on how many units of output they produced
Salary: a fixed amount of money that is paid to an employee every year, usually split up and paid each month
Bonus: an amount of money paid to an employee in addition to their wage or salary, usually as a reward for good performance
Commission: a payment given to salespeople, where they receive a percentage of the value of the goods they sell
Profit sharing: where employees receive an additional payment to their wage or salary when the business they are working for makes a profit
Fringe benefits/Perks
Benefits that employees receive in addition to their salary
Don’t involve a cash payment to the employee but in other forms
Free accommodation/food
Company car
Extra holiday time
Pension schemes
Healthcare schemes/free health insurance
Discounts on the products the business sells
Comfortable or relaxing environments in which to take breaks
Free training or professional development
Free access to childcare facilities
Benefits:
If a business offers more perks => attract more highly skilled employees
Employees who are given health-related benefits are less likely to take time off
Limitations:
Offering these benefits generates additional business costs that will not be covered
The time spent organising the perks could be spent increasing output or productivity => creating an opportunity cost
Non-financial methods of motivation
Job enrichment
Employees are given a wider range of tasks at different levels which offer more challenges and usually more responsibility
Job rotation
Employees are moved from one task or duty to another for a short period of time to give them more experience and variety in their work
Job enlargement
Employees are given a wider range of tasks to complete at the same level of work/Employees are given more variety by expanding the types of work they have to complete
Teamwork
Businesses organise employee into teams and give them responsibility for completing a particular task
Sometimes done under instruction or close super vision (working groups) or done unsupervised (autonomous working groups)
Training
Businesses provide opportunities for their employees to learn new skills
Employees may be motivated by the possibility of career development and promotion
Opportunities for promotion
Motivates employees by making them feel that their efforts have been recognised and that their work adds value to the business
Benefits & limitations (Job design → non-financial)
Job rotation
Benefits:
Reduces boredom
Encourages employees to develop new skills => more flexible
Limitations:
Only works in short term bc of repetitiveness
Some employees may not want to change jobs/duties
Job enlargement
Benefits:
Gives workforce a variety of skills => more flexible
Lowers total wage costs for business bc employees handle a wider range of tasks
Limitations:
Increased costs for business bc employees may require additional training or development
Employees will have to adjust to their new role => reduced productivity in short term
Job enrichment
Benefits:
Provides employees with work that develops their skills and interests => improved self-esteem
Reduces the rate of labour turnover and absenteeism (bc of more responsibility and doing more things => not boring)
Limitations:
Not all employees are interested in developing or moving to the next stage
Difficult to make jobs more challenges (especially jobs that use highly technical machinery => requires training and experience)
Benefits & limitations (Non-financial, except training)
Teamwork
Benefits:
Encourages employees to mix socially and form friendship groups (=> fulfils Maslow’s hierarchy of needs => more motivation)
Encourages employees to share ideas and experiences => improves efficiency
Limitations:
Could result in conflict between team members
Could allow employees to resist any changes that managers want to implement (especially for autonomous working groups that have more freedom and responsibility for their actions)
Opportunities for promotion
Benefits:
Allows the employees to develop and learn new skills => flexbility
If employees are interested in promotion, their self-esteem needs will be met
Limitations:
Only a limited number of promotion opportunities available
Giving promotions => higher wage costs for the business (bc higher positions mean higher salaries/wages)
Assumes that all employees are motivated by responsibility which isn’t always true
Benefits & limitations (Financial rewards)
Wages
Benefits:
More efficient for business bc employees are only paid for the time spent working
Lowers business costs bc paying for wages is usually cheaper than paying salaries
Limitations:
Employees may worry about losing their jobs if their output falls
Employees may reduce the quality of their output to try to produce goods faster (especially for piece-rate)
Salary
Benefits:
More security for employees (less likely to face dismissal or redundancy)
Easier for businesses to work out what the salary costs will be and plan for them bc it’s a fixed amount
Limitations:
Employees receiving fixed pay => lose incentive of earning money by producing more output
Employees often work longer hours than wage workers bc the nature of their work is harder and more complex
Bonus
Benefits:
Employees work harder to earn bonus bc the bonus is linked to the employee output
If a business has a reputation for rewarding good performance => attract highly skilled employees in the future
Limitations:
Sometimes businesses can set unrealistic targets to achieve a bonus
If employees are given a fixed time to receive a bonus, motivation may fall once the target has been achieved (since afterwards there is no motivating factor anymore)
Commission
Benefits:
Employees more motivated to sell bc their pay is linked to their productivity
Easier for managers to assess the performance of salespeople bc their pay can be used to measure and compare their performance
Limitations:
Salespeople may feel like they’ll lose their jobs if their sales are too low
Salespeople may be encouraged to use aggressive sales methods to get customers to buy => damage the brand
Profit-sharing schemes
Benefits:
Employees more willing to accept managers’ decision because they’re aiming to improve their standard of living
If a business offers a profit-sharing scheme => attract highly skilled employees
Limitations:
Profit to shareholders is reduced
Employees may be demotivated when they see the scheme as unfair bc the profits are distributed equally rather than based on effort or contribution
Factors to consider when choosing a method of motivation
The cost to the business (costs, time, productivity)
Additional payments made to employees in the form of financial motivators and some non-financial motivators will increase costs for businesses like in training
Others, such as job design, have indirect costs in terms of lost productivity
Type of job role
The employees
Employees are individuals => motivated by different things
Best to consider several different alternatives
The impact on efficiency
Businesses need to consider whether the short-term loss of efficiency or the short-term costs will be offset by the long-term gains in productivity or revenue
External pressures
The different stakeholders external of the business can affect the motivation strategy the business chooses
Hierarchical structures
Organisation structure
Flat: short chain of command and few levels of hierarchy, sometimes wide span of control
Benefits:
Easier to communicate as the chain of command is shorter => fewer mistakes
Employees are given more responsibility => improve motivation
Limitations
Possibility of mistakes are employees are unsupervised and working independently
Less chance of promotion
Tall: long chain of command and several levels of hierarchy
Benefits:
More managers => supervising workforce easier
Employees may be motivated by the chance of promotion
Limitations
More difficult communication bc of longer chain of command
More managers’ salaries have to be paid which tend to be higher
Levels of hierarchy: Each level represents a level of management
Chain of command: the route by which authority is passed down an organisation from the most senior manager to those with no subordinates through delegation
Short & Long
Span of control: the number of subordinates a manager will supervise directly
Narrow
Benefits:
Less need for training as employees are more closely supervised
Closer supervision => less waste and higher quality of work
Limitations:
Communication & decision-making is often slower bc more managers are involved
More expensive bc a greater number or managers are required
Wide
Benefits:
Fewer managers/supervisors => less expensive
Less supervision => improve employees’ motivation
Limitations:
Fewer managers and supervisors => fewer opportunities for promotion
Less control over subordinates’ work => more mistakes and wasted resources
Roles and responsibilties of directors, managers, supervisors and other employees
Directors: highest ranking managers
In limited companies, they are employees who employed by the chief executive and voted in by the shareholders. In private limited companies, they may be the owners or shareholders of the business
Duties:
Lead the business
Decide on the strategy of the business
Set the objectives that must be met to achieve the strategy
Meet with the shareholders at the AGM (for public limited companies)
Plan for the future growth of the business
Manage employees in their own span of control
Managers: responsible for the day-to-day running of a functional area, department or possibly a whole section of the business
They are specialists who ensure that the objectives of the business are met
Duties:
Achieve the objectives or targets set by senior management
Manage and motivate employees in their span of control
Deal with any problems
Provide directors with information to develop strategies for the future
Supervisors: responsible for monitoring the work of subordinates
Their role is to monitor and check the work of individuals and assign tasks based on the instructions given to them by managers (delegation)
Duties:
Receive instructions or targets from management
Ensure that employees complete the work they are given and the targets are achieved
Other employees: not involved in the main activities of a business but work in areas providing support
Ex.) administrators, IT support, cleaners, maintenance, and security staff
Duties:
Complete roles that support the production of goods and services
Work towards targets set by management
Functions of management
Planning (looking at the current position of the business and identifying where it wants to be, then developing a strategy for how that is going to be achieved)
Coordinating (the process of bringing resources together to enable the business to produce goods and services)
In particular, the business’s human resources need to be brought together, instructed correctly and monitored in the most motivating way possible
Organising (managers making sure they use their time effectively to complete their work and organising the resources of the business as efficiently as possible to keep costs low)
Commanding (having the respect of their workforce => able to direct the staff on how they are expected to perform while maintaining staff motivation)
Controlling (making sure that all employees are working hard and all tasks are completed on time and are of high quality)
Importance of delegation (trust vs control)
Delegation: subordinates can take some responsibility for making decisions and completing specific tasks after having tasks given to them by managers
The correlation between trust and control
The positive correlation: If a manager trusts their subordinates, then they are likely to delegate tasks to them, giving up some of their control
The negative correlation is between the level of control they have in their employees and how much managers are prepared to delegate
Benefits:
Reduces management stress and workload
Allows senior management to focus on key tasks
Subordinates are empowered and motivated
Limitations:
There are some situations where managers cannot/should not delegate responsibility
Dependent on the quality/experience of subordinates
Harder in a small firm
May increase workload and stress of subordinates
Features of the main leadership styles
Autocratic: leaders make all the decisions and don’t involved the employees
Communication is one-way and delegation is not used
Common in emergency situations where a fast decision is often needed (ex. fire service & military)
Democratic: leaders involved employees in decision-making
Communication is two-way and delegation is sued
Managers encourage employees to share ideas
Laissez-faire: managers allow employees complete freedom in how they complete the tasks
Managers set the tasks and deadlines but completely delegate the process of completing the task to the employees and don’t get involved
Advantages & Disadvantages of leadership styles
Autocratic leadership:
Advantages:
Employees may feel secure bc they don’t need to think for themselves
Fast decision-making
Good in crisis or emergency situations
Disadvantages:
Demotivating bc employees are not given the chance to express their ideas, making them feel unimportant
Could lead to staff wanting to leave the company if they feel they can’t make suggestions
Democratic leadership:
Advantages:
Employees may feel more motivated bc their ideas are being listened to
More efficient as specific skills and experiences are being used => more cost-efficient than the managers’ own ideas
Managers may be able to use their time more effectively bc they can delegate some of the tasks
Disadvantages:
Could result in no decision being reached if there is too much conflict with employees
Can be demotivating if the manager takes credit for the employees’ ideas
Decision-making will take longer => inefficiency
Laissez-faire leadership:
Advantages:
May create motivated employees who can make their own decisions
Allows the workforce to approach the tasks in their own way =>more innovation & new ideas
Promotes trust in the workforce => more efficient leadership
Disadvantages:
Lower productivity bc employees have no supervision
Poorer quality bc there is less supervision (mistakes are less likely to be picked up)
employees may not have sufficient knowledge to manage their tasks efficiently
What a trade union is and the effects of employees being union members
Trade union: an organisation of employees who work together to achieve improvements in pay and working conditions for its members
Usually represents employees within the same industry and employees can choose to become a members
By forming a trade union, the members/employees can increase their power by working as a group with collective bargaining (bargaining with management for better pay or working conditions)
Resolves conflicts between managers and employees by acting as a ‘neutral third party’ and to help the employees and managers to reach a final decision (process called arbitration)
The effects:
Positive:
Having access to collective bargaining => motivate employees (bc they have more job security if they’re apart of a group) => more productivity
Employees would be motivated by having their social needs met (Maslow’s hierarchy of needs) (bc by being a member of a union, employees can become part of a peer group which would allow the sharing of ideas)
As being a union member gives employees greater job security, it can lower labour turnover => reduce labour and recruitment costs in the long-term
Negative:
Trade unions have more power to demand higher wages => pushing costs up for businesses => force businesses to lose profits or raise prices
Industrial action can generate bad publicity
If there is a dispute, union members may stop producing goods => lowering output => limiting the amount of goods and services available to customers => makes business seem less competitive
Difference between internal recruitment and external recruitment
Internal recruitment: employees who are already employed by the business and are promoted, redeploy at the business’s request or apply to another role when a vacancy becomes available
Benefits:
Cheaper since there are no costs involved in advertising
Managers already know the skills of the employees
Can save time as external recruitment can take several weeks
Employees are motivated by the possibility of promotion
External recruitment: employees are employed from outside the business to fill a vacancy
Benefits:
Attract potentially stronger selection of candidates
Candidates can bring in fresh new ideas
Doesn’t create vacancies that need to be filled in other parts of the business
Doesn’t create conflict (internal candidates don’t become demotivated if not chosen)
Main stages in recruitment and selection of employees
Vacancy is identified
Job analysis: the process of identifying a vacancy and the duties involved
Skills needed are identified
Job design: the process of identifying the skills, qualities and roles needed to complete a job
Job description is produced
Job description: a document listing the roles and duties of an employee
Job specification is produced
Job specification: a document listing the skills, qualities and qualifications an employee is expected to have (aka person specification)
Job is advertised
The advert often includes a summary of the main duties and responsibilities, as well as the key skills and qualifications needed
Applications are received and shortlist is created
Shortlisting: the process of a business identifying which potential employees (candidates) it wants to put forward for selection
Selection takes place
Selection: the process of choosing the most suitable candidate for a job
Interview (either be one-to-one or involve a panel of several people)
Job-related tasks (candidates completing one of the duties that they would.be expected to complete in the job)
Psychometric tests (tests of language, math, logic to assess how likely it is that a candidate will learn and develop new skills in the workplace)
Presentation (candidates are asked to give a presentation to assess their understanding of the job and their communication skills)
Vacancy is filled
Recommending and justifying who to employ in given circumstances
Cost
Business will want to employ the best candidate while keeping costs low
If the candidate has more experience, they can command a higher salary => higher costs
If the candidate has no experience, it might require training => increase costs in the long term
Skills and experience
Candidates with more experience and skills are more expensive in the short term but can lead to greater efficiencies for the business => long term: higher output & possibly cost savings in the future
The job roles
Some jobs require a detailed knowledge of the business => internal candidates would be more suitable
Other job roles might require specific skills => require external recruitment
Benefits and limitations of part-time employees and full-time employees
Part-time employees: an employee who works, on average, 35 hours per week or less
Benefits:
More motivated or less tired than full-time employees => more productive
Attract greater variety of part-time staff => increases the skills and experience of the workforce
Average cost of a part-time employee is lower than a full-time employee
Employees are more flexible => easier for business to cover busy periods or meet increased demands
Full-time employees: an employee who works, on average, 35 hours (or more) per week
Benefits:
Likely to become more familiar with the business => more productive
More likely to be loyal to the business => less costs bc business doesn’t need to hire more people in the future
Fewer employees are needed => costs of hiring and training are lower
Communication is easier bc they spend more time in the business and will likely receive the information
Benefits and limitations of induction training
Induction training: the training given to new employees when they start working for the business to help make employees familiar with the business and how it operates, as well as helping employees to understand what their role is
Benefits:
Employees understand the requirements of the job and the business => improved efficiency
Employees feel settled into the organisation quicker => reduced labour turnover
Limitations:
(Short term) Employees spending time in training => not producing goods or services => output is reduced
(Long term) Employees are being trained by staff who may pass bad habits onto them => efficiency & quality problems
Benefits and limitations of on-the-job training
On-the-job training: any employee training that is done in the workplace
Work shadowing: employees observe and learn from a more experience member of staff
In-situ training: employees complete their tasks under the supervision of a trainer
Computer-based training: software is used to teach specific skills to employees in the workplace
Benefits:
Employees are working throughout the training programme => no loss in productivity
Employees are trained by existing members of staff => fewer costs
Limitations:
New employees not fully learnt the skills required => less productive
Training is dependent on the level of instructions given by other employees which may not always be of high quality
Benefits and limitations of off-the-job training
Off-the-job training: employees are taken out of the workplace, usually done in a classroom situation by an external specialist
Benefits:
Employees are trained by experts who are familiar with the most efficient and modern industry methods => increases productivity
Current employees are not required to teach trainees => doesn’t limit productivity
Limitations:
External businesses are involved => higher costs
Employees don’t get hands-on experience within their workplace => fewer practical skills being learnt
Importance of training to a business and to employees
Upskilling the workforce
New skills => improve quality of finished products and increase their added value
Improving employee efficiency
Employees develop their job-related skills => fewer wasted resources
Improving employer branding
Employees are attracted to businesses with good training programmes
Increasing employee motivation
Employees are likely to be more motivated if they feel appreciated and valued by the business
Difference between dismissal and redundancy with examples
Resignation
The employee volunteers to leave the organisation, usually to go to another job
Retirement
Employees leave the business after they’ve reached a certain age
Redundancy
Employees are asked to leave to save costs or improve the productivity
As a result the employee is paid some form of compensation (redundancy pay) after employee leaves as the job doesn’t exist
Dismissal
The employee is asked to leave because their behaviour is unreasonable/they cannot do the job
Understadning situations in which downsizing the workforce might be necessary
Improve efficiency
Owners might want to reduce the number of layers of the organisational hierarchy in order to increase the speed of decision making
Closure
Either the whole business closes (for example, due to bankruptcy) or the manager closes part of the business to save costs
Automation
Managers decide to replace people with machinery to reduce costs or improve efficiency
External events
Changes in the external environmental can force the business to make people redundant (for example, a downturn in the economy)
Legal controls over employment contracts, unfair dismissal, discrimination
Employment contracts (a document that sets out the terms and conditions of the employee’s job)
Impact on employees:
Provides job security
If employer fails to deliver part of the contract, such as holiday benefits, the employees can sue using a grievance procedure
Impact on employers:
Improve job security lowers labour turnover => reduces recruitment costs
If employee doesn’t fulfil part of their contract, the employer can legally dismiss them => productivity is not negatively impacted
Unfair dismissal (when the business asks the employee to leave but the conditions for this is unfair)
Impact on employees:
If an employees is dismissed unfairly, they can take their employer to an industrial tribunal and may receive compensation
If employees don’t need to worry about an unfair dismissal => more secure & motivated
Impact on employers:
If an employer is taken to an industrial tribunal => high compensation costs & damage employer branding
Employers have to keep more detailed and accurate records of employee performance => lowering managers’ efficiency
Discrimination (the process of treating one individual or individuals less favourably than others based on a characteristic or difference that’s perceived as negative)
Impact on employees:
Employees must receive equal treatment and equal pay
Employees would be recruited based on their merits, not on discrimination => increases motivation
Impact on employers:
Equal pay may mean the employer has to increase wages => higher costs
As employers recruit based on merit => employer branding increases
Legal controls over health and safety, legal minimum wage
Health and safety (legislation used by the government to make the workplace safer for employees and customers)
Includes the provision of safety equipment, protection from dangerous machinery, suitable hours of work and hygienic conditions
Impacts on employees:
A safe & clean environment => motivating for employees
Employees will require additional training for any extra safety features they’re expected to know about
Impacts on employers:
A safe & clean environment => attract higher skilled employees
Extra safety equipment => additional capital investment + increased costs
Minimum wages (protections to make sure employees could afford to live on these wages, improving their standard of living)
Impact on employees:
Low-paid employees will earn more money => have more disposable income and a higher standard of living
Some employees might campaign to close the wage gap => trade union activity
Impact on employers:
A set minimum wage will increase the wage costs for the business => forces business to raise prices
Businesses will try to retain staff to minimise costs
Effective communication and its importance to businesses
Coordination between different parts of the business improves + reduces the number of mistakes employees make => improves efficiency bc fewer resources are wasted
Employees are kept informed about decisions that are made or changes that are happening => employee motivation improves bc they’re taken into consideration
Enables faster decision making + improves customer service => business more competitive bc they’re able to react to the market faster => increases market share
Benefits and limitations of different communication (email, fax, report, letter)
Email (electronic)
Benefits:
Quick & easy to write and send
The sender can add a "‘read receipt’ to the email so they know when the receiver has read it
Limitations:
Some people may not check their emails on a regular basis => not respond quickly
Can be used too often and ignored
Fax (written → electronic)
Benefits:
Quick and easy to send a paper copy of a document
Very fast
Limitations:
Not all businesses have a fax machine
Faxes can be unreliable (i.e. problems with the phone line)
Often replaced by email
Report (document, written)
Benefits:
Specific to the research topic
Format is often easy to read and understand
Limitations:
Time-consuming to research and write
Often contains a lot of information that is difficult to summarise
Letter (written)
Benefits:
Important way to passing information onto staff and customers
Copies of the same letter can be sent to multiple people => saves time
Limitations:
May contain errors => be used against the business
Not guarantee the stakeholder has read it
Benefits and limitations of different communication (meeting, advertisement, video, social media)
Meeting (verbal, visual)
Benefits:
Allows people to discuss their concerns and opinions and ideas
Decisions can be made very quickly
Limitations:
Could be dominated by some people => others’ opinions may not be heard
Can be time-consuming and not always lead to an outcome
Advertisement (visual, electronic)
Benefits:
Can be creative and fun => improves brand image
Can attract new customers
Useful for recruiting staff
Using the right media can catch stakeholders’ attention quickly
Limitations:
Expensive
May not be actioned by some stakeholders
People may see the advertisement but not pay attention to it
Video (call) (visual, electronic)
Benefits:
Direct and almost as effective as face-to-face communication
Cheap to use
Limitations:
Time zones will be different => issues with planning
Requires good quality technology which isn’t always available
Social media (electronic)
Benefits:
Can be seen as innovative
Quick, efficient and specific
Can be accessed by many people quickly
Can create a positive brand image
Limitations:
An age gap (older generations are less likely to use social media so the business is less likely to reach these stakeholders)
Requires internet access which in some areas is not always possible
Recommend and justify which communication method to use in given circumstances
Urgency
Cost
Complexity of message
Available technology
Need for feedback
How communication barriers arise and how they can be reduced or removed (languages & environment)
Message could be received in the receiver’s second language
Business could translate the message using a specialist agency or automated translation software if the message is communicated electronically
Message could be too long
Message should be brief as possible or broken up into several shorter messages
Receiver may not understand the message bc of complex or technical language & use of jargon
The sender should ensure that the message uses language that is simple and easy to understand
The sender should allow opportunity for feedback and for the receiver to ask questions
Noises can prevent the sender or receiver from understanding the message
The message needs to be transmitted in a quiet environment or a written format should be used
There may be long distance between sender and receiver which causes problems with face-to-face communication
Electronic forms of communication (such as video calls) can make it easier to communicate over long distances
Planning for time zones should be taken into account
How communication barriers arise and how they can be reduced or removed (Management style)
If there is a poor relationship between the manager and employee, there may be no trust and the employee may not believe what is being communicated to them + they may not fully listen to the message
Management need to change their style or take action to build trust and show that they are listening to the employee
Management may choose a medium they’re comfortable with but the employees may not be familiar with (i.e. technology)
Regular updates and training need to be offered to employees
A range of different methods should be used
If the organisational structure is too complex, the message will have to go through too many people => change message or distort message before it reaches the receiver
The management could consider using delayering or delegation to ensure that the message is passed through fewer people
Note 
Flashcard (24)