Advanced Diploma Past Papers September 2010

8/6/2019 Advanced Diploma Past Papers September 2010

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2010 IAM

The Institute of Administrative Management

Level 5 Advanced Diploma in Administrative

Management

Examination paper

September 2010

Unit 1: Administrative systems in the organisation

Date: 06 September 2010

Time: 09:30 12:30

Time Allow ed: 3 hours.

This paper is divided into four sections.

ONE question must be attempted from each section.

Graph paper is included in the centre of the examscript.

Allocation of marksas shown on thepaper.

Questions follow .

Please do not turn the paper over until told to do so by the invigilator


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Section A: Problem solving and analysis

1. Metaphors are often used to illustrate the meaning of situations, thus providinga graphic image that is widely understood.

a. Identify and describe the five system metaphors used within organisations.(10 marks)

b. Explain concisely how rich pictures are used, including identifying how aproblem could be recorded as a rich picture.

(15 marks)

2. Decision-making can be complex and cannot be separated from the culture,environment, politics and emotions within which decision makers operate.

a. Describe in detail the grid which was developed to provide managers with aprocess of choosing systems methodologies.

(15 Mark)

b. Explain concisely how this grid works, using two examples to support youranswer.

(10 marks)

Section B: Designing effective systems

3.a. Outline the main focus of Total Quality Management (TQM), and detail the

pre-requisites for TQM to be fully and effectively embedded withinorganisations.(13 Mark)

b. Explain concisely the six levels of adoption of TQM identified by Dale andLascelles.

(12 marks)

4.a. Examine the international quality standard ISO 9000, and explain its origin,

focus and applicability to various organisations.

(10 marks)

b. Discuss the strengths and weaknesses of these quality standards and providea sound argument (either for or against) that they consistently provide high

quality goods or services.(15 marks)

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Section C: Perfo rmance improvement and monitor ing

5.a. Outline how the concept known as the value-chain can be applied within an

organisation in order to improve performance.(10 marks)

b. Discuss why organisational processes are interconnected and often difficult tounravel. Answers should explain why managers are often tempted toidentify, measure and evaluate those forms of organisation data that aremore evident.

(15 marks)

6.a. Outline the use of Key Performance Indicators (KPIs) and explain how they

are used and why it may be difficult to establish effective performance

indicators.(12 marks)

b. Discuss why organisations measure performance and why both quantitativeand qualitative measures should be used.

(13 marks)

Section D: Systems approaches and models

7.a. Explain the concept of a system, including the relationship between elements

and the notion of a boundary.(10 marks)

b. Discuss in detail the concept developed by Peter Checkland and explain itsapproach and value to problem-solving within organisations.

(15 marks)

8. Define the six properties of good decision analysis models, and discuss thecontribution of computer software when using such models. Your answer mustshow a clear understanding of decision analysis models, including their strengthsand weaknesses.

(25 marks)


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2010 IAM



Management

Marking guide

September 2010

Unit 1: Administrative systems in the organisation


Time: 09:30 12:30

Time Allow ed: 3 hours.


ONE question must be attempted from each section.



Questions follow .

Please do no t turn the paper over until told to do so by the invigilator.


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Section A: Problem solving and analysis

1. Metaphors are often used to illustrate the meaning of situations, thus providinga graphic image that is widely understood.

a. Identify and describe the five system metaphors used within organisations.(10 marks)

b. Explain concisely how rich pictures are used, including identifying how aproblem could be recorded as a rich picture.

(15 marks)

Marking guide (LO 2)a.This questionallows candidates to describe the five system metaphors:

machine the mechanistic approach of organisations, with a closed system viewand standardisation of processes, predictable and routine operations

organism the term organism implies an open relationship with changingenvironment, and the organisation behaving like a living system and adapting to

the external environment brain emphasises active learning, thinking about the organisation as being

inventive with a focus on decision-making and information processing

culture emphasises shared values or beliefs. Organisations are complexsystems and challenge is long-term survival

politics focuses on power and how power is obtained and used withinorganisations, and how different interests are reconciled.

One mark for each of the metaphors listed with a further mark for a brief explanation

of what each means. They must describe fully how these metaphors are used withinorganisations to describe various processes that take place.

(10 marks)

b.

A further eight marks are available for explaining fully and concisely how richpictures are used they are used during the expression of a problem situation thefinding out stage. There are no rules for their development but hard and softinformation must be included. They are produced without structure, although they

show patterns, relationships, arrangements and connections.(8 marks)

With a further seven marks available when a complete explanation of how a problemcould be recorded as a rich picture.

(7 marks)

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2. Decision making can be complex and cannot be separated from the culture,environment, politics and emotions within which decision makers operate.

a. Describe in detail the grid which was developed to provide managers with aprocess of choosing systems methodologies.

(15 marks)

b. Explain concisely how this grid works, using two examples to support youranswer.

(10 marks)

Marking guide (LO 2)a.Flood and Jackson (2003) developed the System of Systems Methodologies (SOSM)in order to provide managers with a process of choosing system methodologiesrelevant to the problems they face.

Problem contexts are seen as being affected by two key variables:

nature of the system and nature of the participants.The candidate should explain the SOSM grid with increasing divergence of valuesfrom unitary, pluralist to coercive and increasing complexity, simple to complex. Itwould be helpful and allow two marks if the candidate was to present thisdiagrammatically, and explain what each of the values actually means:

unitary participants have common interest and beliefs pluralist participants have basic compatible interests but dont share same

values and beliefs

coercive participants have no common interests and hold conflicting values andbeliefs.

(2 marks for diagram)

Simple small number of sub-systemsComplex large number of sub-systems

(2 marks)

Candidates must provide this full explanation to gain remaining eleven marks andexplain how hard and soft systems relate to the model.

(11 marks)b.

A further ten marks are available when two examples are used successfully todemonstrate the use of the grid. Clearly examples can be chosen from thecandidates own experience or from their reading in respect of this topic area.

(10 marks)

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Section B: Designing effective systems

3.a. Outline the main focus of Total Quality Management (TQM), and detail the

pre-requisites for TQM to be fully and effectively embedded withinorganisations.

(13 marks)

b. Explain concisely the six levels of adoption of TQM identified by Dale andLascelles.

(12 marks)

Marking guide (LO 3)a.TQM focuses on zero defects and depends upon a customer-focused corporate style

of management that encompasses the whole organisation in a shared vision ofquality.

The emphasis is on a commitment to continuous improvement with organisationsadopting a systematic approach to the development of high-quality products/servicewhile responding to customer requirements or demands.

A full and concise explanation of this concept, including the relevant theoristsassociated with it such as Deming (1981) and Juran (1988) must be provided.

The candidate must demonstrate a complete appreciation of theory and relevanttheorists. They must show that the underlying concept behind the theory is thatboth internal and external customers must be satisfied in the development ofproducts or delivery of services. The cost will then be recognised as appropriate bythe customer. Organisations are seen as succeeding when quality is taken forgranted.

Candidates must understand that Deming focused on statistical process control and

Juran developed a planning approach to quality improvement in sequential stages:

determine Goals evaluate Performance and compare goals identify resources required

(8 marks)With a further five marks for explaining the need for:

top management commitment a shift in culture need to be embedded within the value system of the organisation engaging all employees in improving their performance Integration with all processes and functions.

(5 marks)b.Finally twelve marks are available for not only providing the names but also anexplanation of each of the six levels identified by Dale and Lascelles (2003):

uncommitted drifters tool-pushers improvers award-winners world-class.The candidate should include an explanation of what each means

One mark for each level identified and one mark for brief explanation.(12 marks)

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4.a. Examine the international quality standard ISO 9000, and explain its origin,

focus and applicability to various organisations.(10 marks)

b. Discuss the strengths and weaknesses of these quality standards and providea sound argument (either for or against) that they consistently provide high

quality goods or services.(15 marks)

Marking guide (LO 3)a.The candidate must provide a full explanation of ISO 9000 as a quality standardBritish Standard is BS5750. They must explain how these standards alloworganisations to apply for external assessment and accreditation through a process

of certification, often a pre-requisite to market entry.

The focus of the standard is on how the service or product should be delivered or

manufactured so that there is little or no variability in the standard and customerscan therefore be assured of the consistency of the service or the goods.

A total of ten marks are available for providing a full explanation as above, whichmust include an appreciation of the external assessment and accreditation process ofcertification, the focus on how the service or product should be delivered and anunderstanding from the candidate of an organisation that has applied this standardetc.

(10 marks)

b.A further seven are available for explaining the strengths and weaknesses of these

standards.

Strengths including:

commitment of employees to continuous improvement seen by customers as achieving and maintaining a certain quality standard ensures organisations continually review quality and processes associated with

quality

decrease in the number of complaints documentation aids processes for training and development of staff.Weaknesses including:

costly bureaucratic process to achieve accreditation if standard is set low then quality will be low.Then a further eight marks are available for providing a full argument either for oragainst the standards as a guaranteed quality standard.

(15 marks)

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Section C: Perfo rmance improvement and monitor ing

5.a. Outline how the concept known as the value-chain can be applied within an

organisation in order to improve performance.(10 marks)

b. Discuss why organisational processes are interconnected and often difficult tounravel.

(15 marks)

Marking guide (LO 4)a.This question gives candidates the opportunity to explain the concept of value-chainand how they are used and applied within organisations.

Candidates must explain that they were developed by Porter in 1980 and allow

organisations/managers to analyse the costs and assets linked to individual activitiesto determine any correlation.

This is a move away from the traditional method of managing costs. This conceptallows organisations to examine their routines and processes.

Candidates must explain primary and secondary activities and upstream and downstream activities. A clear, concise and complete explanation of how this conceptworks should allow up to ten marks.

(10 marks)

b.

A further eight marks are available when candidates discuss and explain whyprocesses are often interconnected within organisations e.g. HR function and oftenmake complete and discrete application of the model difficult to implement.

Candidates must provide a thorough understanding of how this model isimplemented and drawbacks to implementation such as that detailed.

(8 marks)

A further seven marks are available when candidates explain that data such asproduction costs, ROI etc are often measured and evaluated more because they aremore readily available than say management style, leadership, employeecommitment etc.

A very thorough understanding must be provided to allow the full seven marks to beafforded.

Answers should explain why managers are often tempted to identify, measure andevaluate those forms of organisation data that are more evident.

(7 marks)

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6.a. Outline the use of Key Performance Indicators (KPIs) and explain how they

are used and why it may be difficult to establish effective performanceindicators.

(12 marks)

b. Discuss why organisations measure performance and why both quantitativeand qualitative measures should be used.

(13 marks)

Marking guide (LO 4)a.Candidates must explain what KPIs are and how their usage in organisations hasdeveloped over time. They can be used to predict future performance. The KPIschosen must be measurable and capable of validation.

Organisations must choose the right things to measure and interpret them correctly.

They must explain why managers often find it difficult to establish the correctindicators and how they will change over time.

Up to twelve marks are available for explaining how this concept has developed, howthey are used and the drawbacks to using them such as difficulty in establishing theindicators and how they change over time.

(12 marks)

b.A further thirteen marks are available when candidates discuss at length that bothqualitative and quantitative measures need to be used to provide a complete pictureof organisational performance. They should go on to explain how measuring

performance allows managers within organisations to review the efficiency andeffectiveness of their organisation and take action as necessary.

They must explain that quantitative measures on their own do not allow a completepicture of organisational health to be ascertained. They must then go on to explainhow it is often other measures relating to customer satisfaction, and employee issuessuch as innovation and learning that allow a complete and concise picture to beascertained.

(13 marks)

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Section D: Systems approaches and models

7.a. Explain the concept of a system, including the relationship between elements

and the notion of a boundary.(10 marks)

b. Discuss in detail the concept developed by Peter Checkland and explain itsapproach and value to problem-solving within organisations.

(15 marks)

Marking guide (LO 1)a.This question gives candidates the ability to consider the concept of a system andhow this notion has further developed in recent years.

A systems approach to problem-solving tends to holistic; looking at the wholeproblem situation as opposed to the reductionist approach which looked at isolated

parts of the problem situation.

Candidates must explain this emergence of systems theory and then be able toexplain the concept of systems comprising of elements and then the boundarydividing the system from its environment.

This question focuses on soft systems methodologies SSM and thus candidates mustdemonstrate a thorough and complete understanding of this concept. A thoroughand concise explanation such as this would allow ten marks to be awarded.

(10 marks)b.A further ten marks are available for explaining the seven stage participative process

as developed by Checkland including an explanation of each: situations considered problematic problem situation expressed through a rich picture root definitions of relevant, purposeful, activity systems (catwoe) conceptual models of the relevant systems named in the root definitions comparison of the conceptual models with the real world identification of changes that are systematically desirable and culturally feasible action to improve the problem situation.This must include a complete understanding of this concept and then a further fivemarks are available for comparing it with other models such as Operational Researchmodel (OR), Systems Analysis Model (SA), Systems Engineering Model (SE) orsystems dynamics model, appropriately explained.

(15 marks)

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8. Define the six properties of good decision analysis models, and discuss thecontribution of computer software when using such models. Your answer mustshow a clear understanding of decision analysis models, including their strengthsand weaknesses.

(25 marks)

Marking guide (LO 1)The answer needs to demonstrate an understanding of what decision analysis models

are and the contribution they make to decision making within organizations.

Daellenbach and McNickle (2005) defined six properties of good models:

Simple, easy to understand and use complete, including all significant aspects of the problem situation easy to manipulate and communicate with adaptive, reasonable changes in inputs and/or the structure of the problem

situation appropriate for the situation studied, producing relevant outputs at the lowest

cost and within time-frame

producing information that is relevant and appropriate for decision making.Each should be identified and explained by use of an example.

Defining and explaining these six properties would allow twelve marks to be awardedwhen appropriate.

(12 marks)

Candidates must go on to explain that mathematical and logical models areappropriate for the use of computer software.

Answers could usefully refer to the types of decision support models that are

available and suggest when examples of these might be used.

Mathematical and logical modelling approaches use quantitative models within ahard systems approach and are often seen as Management Science.

Computer simulation software can be used to carry out experiments on how asystem could operate, particularly where there is a significant volume ofcomplexity, uncertainty and variability:

o Operational Research Model (OR) based on a rational choice betweenalternative responses, used for complex problems

o Systems Analysis Model (SA) a systematic form of enquiry examiningcosts, effectiveness and the risk of alternative strategies. It analysescomplex systems through a step by step approach.

oSystems Engineering Model (SE) uses a well-defined model that ensuresoptimum use of resources, detailed systems analysis and optimal systemdesign to find a solution to a given problem.

o Systems Dynamics model developed by Forrester after looking atfailings of OR model. He saw systems as feedback processesdemonstrating a specific and orderly structure, but recognising that causeand effect might be far away from each other. This model uses the

human mind to define the problem and to identify factors influencing theproblem, and recognises feedback loops prior to building, testing andexperimenting with the computer model.

Candidates must provide a thorough understanding of how this type of models worksand how they compare to interpretative modelling. A complete explanation of this

level would provide thirteen marks when appropriately explained and compared.(13 marks)


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2010 IAM



Management

Examination paper

September 2010

Unit 2: Strategic issues in administration


Time: 09:30 12:30

Time Allow ed: 3 hours


One question must be attempted from eachsection.

Graph paper is included in the centre of the exam

script.


Questions follow .



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Section A: The organisational environment

1. Evaluate how managers respond to change drivers. Use examples to support youranswer.

(25 marks)

2. Consider the cultural implications of internationalisation/globalisation on anorganisation with which you are familiar.

Explain the cultural influences that affect that organisation.(25 marks)

Section B: Introduction to strategic think ing

3. Imagine you are a senior manager of a struggling organisation. Suggest ways andtechniques of gathering information to make decisions on the strategy required to

make the organisation successful. Give reasons for your choices.(25 marks)

4. Evaluate how an organisation decides on its strategic capability. Use specificexamples to support your answer.

(25 marks)

Section C: The customer focused organisation

5.a. Identify and explain the main stages in the development of new products.

(15 marks)

b. Discuss how the development of new products might be supported by theorganisation.

(10 marks)

6. Explain the steps that should be followed when conducting market research andidentify the different techniques that can be used.

(25 marks)

Section D: Managing change and cu lture

7. Imagine you are the administrative manager of your organisation. Using examples,explain how you will contribute to creating an ethical culture within your organisation.

(25 marks)

8.a. Identify the main reasons for organisational change.

(8 marks)

b. Explain why resistance to change might occur and the action managers can taketo reduce or remove such resistance.

(17 marks)

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Management

Marking guide

September 2010

Unit 2: Strategic issues in administration


Time: 09:30 12:30



One question must be attempted from eachsection.


script.


Questions follow .



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Section A: The organisational environment

1. Evaluate how managers respond to change drivers. Use examples to support youranswer.

(25 marks)Marking guide (LO 1 .3.2)

Candidates should first explain that external drivers are not themselves controllable byindividual managers, though responses to them and their impact within an organisationcan be mediated by good strategic management. Responding to internal drivers isgenerally easier as management has far more influence over the drivers and responsesto them.

(3 marks)Before managers plan responses, the forces acting on the organisation should beevaluated using a framework such as the Lewins Force Field Analysis (1947). This goesbeyond the identification of the change drivers, to examine the forces restraining the

organisation. Their impact can be predicted only if the valence (strength) is alsoestimated.

(4 marks)

Driving Forces can be classified into external and internal.External:

competition globalisation product life cycle technology and management gurus.One mark each up to a maximum of four marks.

(4 marks)Internal:

economic survival customer expectations cost reduction

employee morale dynamic charismatic individual strategic vision shareholders.One mark each up to a maximum of four marks.

(4 marks)

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Restraining forces can also be categorised into individual and organisational.Individual:

fear of redundancy personal inconvenience loss of status career prospects habit, laziness fear of failure ignorance/lack of information.One mark each up to a maximum of four marks.

(4 marks)Organisational:

bureaucracy lack of skills/training rigid structure lack of finance trade union power undue caution.One mark each up to a maximum of four marks.

(4 marks)Students can earn two extra marks for citing other appropriate frameworks.

(2 marks)

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2. Consider the cultural implications of internationalisation/globalisation on anorganisation with which you are familiar.

Explain the cultural influences that affect that organisation.(25 marks)

Marking guide (LO 1 .4.2)Candidates should firstly state the organisation chosen.

(1 mark)

A useful starting point is to explain the term culture. There are various examplescandidates can cite.

(2 marks)

Candidates can explain the cultural environment that affects the chosen organisation.

Organisational influences: political context legal system values/attributes religion education social system language.One mark for each of the above with a further mark for each explanation relating to the

chosen organisation.

(14 marks)

Candidates should consider the implications of how technology has madeinternationalisation/globalisation possible.

(2 marks)

Examples that students can use to support their answers are:

same brand marketed differently global brands that are globally accepted what works in one culture may not in another.

(3 marks)

They can also distinguish between globalisation and internationalisation as attempted byVignali (2001).

(1 mark)

GlobalisationDeveloping strategies in the belief that the world is a single entity and so everthing canbe handled the same way.

(1 mark)

InternationalisationCustomising strategies depending on who you wish to do business with, which involvesgrouping countries according to their culture, economies, politics, etc.

(1 mark)

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Section B: Introduction to strategic think ing

3. Imagine you are a senior manager of a struggling organisation. Suggest ways andtechniques of gathering information to make decisions on the strategy required tomake the organisation successful. Give reasons for your choices.

(25 marks)

Marking guide (LO 2 .2.2)

Candidates should first explain that as an strategic manager they would requireinformation on organisational analysis, environmental analysis and competitor analysis.

(3 marks)

For organisational analysis, candidates should include:

Kurt Lewins Force Field Analysis This enables influences that are promoting orinhibiting change to be identified, as a basis for producing action plans.

(2 marks)

SWOT Analysis Analysis of an organisations strengths, weaknesses, opportunitesand threats.

(2 marks)

For environmental analysis, candidates should include PESTLE analysis. PESTLE producesan understanding of the external macro-environment and assist in gaining competitiveadvantage. It identifies external factors that impact the organisation.

P = politicalE = economic

S = societalT = technologicalL = legalE = environmental.

(6 marks)

Candidates should comment that PESTLE is a useful checklist and provides a framework

to feed into a SWOT or force field analysis.(1 mark)

Candidates can then discuss competitor analysis techniques such as:

industry norm analysis; an assessment against standard sets of performancemeasures for a whole industry sector.

(1 mark)

benchmarking; assessment against market leaders or most admired companies toidentify critical success factors and adopt best practice. (1 mark)

Porters five forces; identifying factors in the competitive environment thatcollectively determine the profitability and strategic success of an organisation:

o threat of new entrantso intensity of rivalryo bargaining powers of buyerso bargaining powers of supplierso threat of substitutes.

(5 marks)

Up to four further marks can be awarded for citing of relevant examples or theorists.

(4 marks)

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4. Evaluate how an organisation decides on its strategic capability. Use specificexamples to support your answer.

(25 marks)

Marking guide (LO 2 .2.4)

Candidates should start by explaining that there are three parts to deciding on strategic

capability.

Identify core competences.Core competences are activities of an organisation that makes a difference and gives thecompany competitive edge, Needle, (2004). They form the basis of reputation withcustomers. They may provide the basis for benchmarking exercises by other sectormembers.

(4 marks)

Identify critical success factors.These are factors that customers value most about a product, service or organisation andwhich must be achieved to secure competitive advantage, Boddy (2005). At a strategic

level these include organisational capabilities such as flexibility and innovation.(2 marks)

Kay (1993) identified three areas of competence crtitical to success: architecture (channels of communication and information exchange) reputation (quality, dependability, responsiveness) innovation (ability to generate new or differentiated products or services).

(4 marks)

Identify key performance indicators.

These are indicators that will be measured to determine if improvements put in place areworking or not.

(2 marks)

Once these are identified, organisations must ensure that these are addressed byindividual managers and their business units. Performance indicators are expressed asoutputs, related to objectives, targets and critical success factors against which a

managers contribution can be evaluated.(2 marks)

Candidates should explain how organisations establish what the criteria is for the corecompetences, critical success factors and key performance indicators. They shouldinclude reference to SWOT, PESTLE, Lewins Force Field analysis. How organisationsinterpret these results and create the indicators to assist in moving the organisation on.

(9 marks)

A further two marks can be awarded for citing examples.(2 marks)

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Section C: The customer focused organisation

5.a. Identify and explain the main stages in the development of new products.

(15 marks)

b.

Discuss how the development of new products might be supported by theorganisation.(10 marks)

Marking gu ide (LO 3.5)Candidates can first explain that various analysis should take place prior to developingnew products such as SWOT, PESTLE, Lewins Force Field Analysis.One mark each up to a maximum of three marks.

(3 marks)

Candidates should identify the main stages as:

assess the demand (including, market research, feasibility study, market gaps, etc);

obtain ideas (R&D, who can contribute to, etc) evaluate each idea(link to corporate plan, suppliers, demand, market size) develop one idea (resources, test marketing, timetabling training, purchase

equipment etc)

launch product (forms of promotion, pricing policy, etc) evaluate success (consumer reaction, increased sales, etc).Two marks each up to a maximum of twelve marks.

(12 marks)

Discussion should also be included to explore the proposition that new products may beinnovative (new/original), imitative (copies) or replacement (substitutes) and reasonswhy each would be valid idea, when competitors are already in the market.

(6 marks)

Support from organisation can take the form of labour availability and cost, andcompetitors reaction, corporate objections, compatibility and product mix, future market

growth, profit potential, length of life cycle, etc.(4 marks)

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6. Explain the steps that should be followed when conducting market research andidentify the different techniques that can be used.

(25 marks).

Marking gu ide (LO 3.2)

The candidate should discuss the framework as indicated by Palmer (2004).

(1 mark) define the problem, research aims and objectives develop the research plan (how it will done) collect the data analyse the data present the findings make decisions review.One mark each up to a maximum of seven marks.

(7 marks)

They should discuss that organisations need market research to understand their market

requirements in order to sustain their business. It provides them data on: developing new products developing new promotional campaigns find out what their competitors are doing identify the potential for moving into new markets.One mark each up to a maximum of four marks.

(4 marks)

Good answers will include reference to Piercy (2002) who presented a list of myths ofmarketing information and the traps that lead to the wrong research being done andwrong decisions being taken. It should be structured, planned and managed to avoidwaste of resources and/or collection of inappropriate data.

(2 marks)

Market research data can be gathered in many different ways:

government publications professional body publications newspapers face to face interviews focus groups telephone surveys postal surveys email surveys

companies that specialise in holding data and charge for access to it.One mark each up to a maximum of nine marks.(9 marks)

References should be made to data protection legislation and rules governing what datacan be held, for how long and for what purpose.

(2 marks)

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Section D: Managing change and cu lture

7. Imagine you are the administrative manager of your organisation. Usine examples,explain how you will contribute to creating an ethical culture within your organisation.

(25 marks)

Marking gu ide (LO 4.4)Candidates should identify the four main cornerstones to success:

purpose people planet probity (meaning honesty).

(4 marks)

Candidates should explain that when trying to introduce a different culture into an

organisation they should first consider that the aim of modern organisations is toreconcile the organisational purpose with the needs and feelings of people (staff,

customers, suppliers, local community, stakeholders, etc) with proper consideration for

the planet. Probity enables the other potentially conflicting aims to be harmonised so thatthe mix is sustainable, ethical and successful.

(4 marks)

Traditional inward looking management and leadership skills, which historicallyconsidered only the purpose of profit and methods for achieving it. Nowadays, with all

the legislation, health and safety, DPA, etc other criteria comes into play. Moreover,performance, behaviour and standards are transparent globally; the whole world can see

and judge how leaders and organisations behave.(4 marks)

An organisation needs to be seen as at least being ethical to survive.

(2 marks)

They would have to consider that the ultimate aim is to make profit but the profit has to

be made ethically. Unfortunately, short term profit can sometimes have a long term spellof disaster. Once an organisation has a reputation for being somewhat unethical, it cantake years to recover if at all.

(3 marks)

Up to eight marks can be awarded for examples cited and depth of discussion.(8 marks)

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8.a. Identify the main reasons for organisational change.

(8 marks)

b. Explain why resistance to change might occur and the action managers can taketo reduce or remove such resistance.

(17 marks)

Marking gu ide (LO 4.3)a.Candidates should explain that organisations change when there is a perceivedperformance gap. Their performance is believed to be out of line with their competitors

or when performance falls.(3 marks)

This maybe when there are changes in:

corporate objectives technology business processes new structures new products or services.

(5 marks)

b.Managers have to be aware that there will be resistance to change and this occurs forvarious reasons at all levels, which maybe:

personal reasons (prejudice, fear of the unknown, unemployment, lack of selfconfidence to learn new skills etc)

communication reasons (not properly informed, mistrust, misunderstanding) social reasons (existing satisfaction with colleagues, systems, equipment, dislike of

new colleagues)

economic reasons (new pay rates, new shift patterns, new working practices).Two marks each.

(8 marks)

Managers have to use their skills to remove or reduce the effect of the above by:

negotiation consultation training counselling involving the staff in decision making as much as possible good communications introduce employee feedback to contribute to the change process establish working parties or quality circles monitoring the effects of the change.One mark each.

(9 marks)


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Management

Examination paper

September 2010

Unit 3: Administrative management of resources


Time: 09:30 12:30



ONE question must be attempted from eachsection.


script.


Questions follow .

Please do not turn the paper over until told to do so by the invigilator.


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Section A: Managing projects

1.a. Describe the two common errors which can occur due to inadequate planning or

oversight when drawing the network diagram.(6 marks)

b. Draw a network to represent the following project details.Activity Preceding Activity Duration

(Months)

A - 1

B - 2

C - 5

D A, B 7

E A 1

F D 2

G A,B 4

H E 1

I C,G,H 2

(15 marks)

c. Define and comment on the critical path identified.(4 marks)

2.

Claessens (2007) who, after reviewing much of the time management literature,suggests time management is the behaviours that aim at achieving an effective useof time while performing certain goal-directed activities. Evaluate this statement.

(25 marks)

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Section B: Managing financial resources

3. Examine how the different sources and amounts of finance required for anorganisation is influenced by factors such as the type of business, its success and thestate of the economy.

(25 marks)

4. Amber Ltd has to make a decision about whether to purchase Machine A or MachineB. Machine A costs 175,000 and Machine B 160,000. Both machines are expectedto last five years. The cash flows from each machine are as follows:

Machine A Machine B

Year 1 50,000 60,000

Year 2 50,000 60,000Year 3 50,000 30,000Year 4 30,000 20,000Year 5 25,000 20,000

DISCOUNT FACTORS

Number of

Years4% 6% 8% 10% 12%

1 0.961 0.943 0.926 0.909 0.893

2 0.925 0.890 0.857 0.826 0.797

3 0.889 0.840 0.794 0.751 0.712

4 0.855 0.792 0.735 0.683 0.636

5 0.822 0.747 0.681 0.621 0.567

a. Calculate the payback period of each machine.(6 marks)

b. Calculate the internal rate of return (IRR) for each machine.(14 marks)

c. Advise the company on which machine to purchase.(5 marks)

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2010 IAM

Section C: Managing expenditure

5. Extract from a standard cost card for part no 123x:Standard Cost / Unit

Raw materials 56 kgs @ 8kg 448

Direct labour hours 10 hours @ 8.5 per hour 85

Actual results for the periodProduction 125 partsActual materials used 7,250kgs at a cost of 56,550Direct wages paid 11,480 for 1,312 hours

a. The direct material price and usage variances.(10 marks)

b. The direct labour rate and efficiency variances.(10 marks)

c. Provide reasons for these variances calculated.(5 marks)

6. Examine the main attributes of inventory control.(25 marks)

Section D: Managing facilities

7. Assess the contribution of a facilities manager in designing sustainability anddelivering corporate social responsibility.

(25 marks)

8. As a facilities manager for an organisation experiencing financial difficulties write areport to the Board of Directors identifying areas where savings can be made without

compromising the level of facilities management provided.(25 marks)


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2010 IAM



Management

Marking guide

September 2010

Unit 3: Administrative management of resources


Time: 09:30 12:30



ONE question must be attempted from eachsection.


script.


Questions follow .

Please do not turn the paper over until told to do so by the invigilator.


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Section A: Managing projects

1.a. Describe the tw o common errors which can occur due to inadequate planning or

oversight when drawing the network diagram.(6 marks)

b. Draw a network to represent the following project details.Activity Preceding Activity Duration

(Months)

A - 1

B - 2

C - 5

D A, B 7

E A 1

F D 2

G A,B 4

H E 1

I C,G,H 2

(15 marks)c. Define and comment on the critical path identified.

(4 marks)

Marking guide (LO 1.1, 1.1.2, 1.1.3)a.Sometimes due to inadequate planning or oversight, errors can occur when drawing thenetwork diagram. Firstly, looping, this occurs when an activity already drawn appears todepend on a later one.

(3 marks)

The second is dangling; a dangling activity, other than a final activity, is one which is notfollowed by another. This later error breaks the rule of dependency governing the logic of

a network diagram. This rule states that all events except the first and last, must have atleast one activity finishing at and one activity starting from them.

(3 marks)

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b.D

2 2 9 9

B 7 F

2 2

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0 0 A 1 7 E 2 8 4 G 11 11

1 1 H

1

I 2

5 C 6 9

Five marks for use of logic dummy, five marks for correct timings and five marks forcorrect layout. A maximum of five marks to be given for incorrect attempts.

(15 marks)

c.Critical path is activities B, D, F.

(2 marks)

The critical path is the path taken by those activities which have no float. Criticalactivities therefore, have no flexibility, and must start and finish on time in order for theproject to be completed on time.

(2 marks)


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2. Claessens (2007), after reviewing much of the time management literature, suggests

time management is the behaviours that aim at achieving an effective use of timewhile performing certain goal-directed activities. Evaluate this statement.

(25 marks)

Marking guide (LO 1.4, 1.4.4)Claessens suggests these behaviours are wide-ranging and fall into three types:

assessment behaviours planning behaviours monitoring behaviours.

(6 marks)

The most popular time management techniques fit into these three types of behavioursas follows:

assessment behaviours judging what the time is, estimating how long it will take todo something, reflecting on how much time has passed

planning behaviours setting goals, planning tasks, prioritising, writing lists monitoring behaviours assessing progress.To maximise the benefits of time management some of the techniques in each of thethree categories of behaviour need to be practiced without just focusing on techniquesfrom one category.

Time management behaviours are related to performance, job satisfaction and stress.Planning activities can give a sense of control over our time which then in turn leads tothe individual experiencing a reduction in stress and an increase in job satisfaction.

Claessenshas shown that planning and other time management behaviours can directly

enhance performance and job satisfaction and reduce stress because they help to

distribute effort and energy better i.e. actually be more efficient.(9 marks)

Francis-Smythe & Robertson, 1996 suggest that we each have our own unique timepersonality preferences about how we deal with five different aspects of time:

Planning, do you like to plan your day in advance, maybe write a to-do a list or justlet it happen?

Punctuality, are you always on time for things or might you have a tendency to belate?

Polychronicity, do you like to have several things on the go at any one time or do youprefer to finish one thing before starting the next?

Time awareness, are you generally aware of what the time is or can you easily losehours?

Impatience, do you get irritated standing in a long queue or do you make the most ofthe time by chatting to people or reading a magazine?

(5 marks)

The way in which an individual prefers to handle time is likely to determine which timemanagement techniques will suit them best.

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Typically time management techniques can be arranged by time management behavioursas follows:Assessment:Phone calling/responding, E-mail responding, Open door policy, handling meetings and

interruptions, avoiding procrastination, delegating, saying no, judging what is important

and what is urgent.

Planning:Setting goals, breaking tasks into smaller tasks, writing lists, setting schedules anddeadlines, prioritising.

Monitoring:Checking progress, reviewing objectives, reviewing schedules, checking resources.

(5 marks)

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Section B: Managing financial resources

3. Examine how the different sources and amounts of finance required for anorganisation is influenced by factors such as the type of business, its success and thestate of the economy.

(25 marks)

Marking guide (LO 2.1.1, 2.1.2)This question requires candidates to explain why organisations require finance, together

with how the success of the organisation determines its sources and the impact of theeconomy in terms of employment, public and consumer spending and level of interest

rates.

The most appropriate sources of finance available to both private sector and public sectororganisations should then be identified.Basically a company needs money for capital expenditure and working capital.In the private sector internal sources include retained profit - profit made beingreinvested into the business; controlling working capital - reducing costs, delaying

outflows and speeding up inflows; sale of assets - assets the company owns can be soldand then leased back which frees up a large amount of capital in the short term.

(3 marks)

External sources of finance include:

increasing trade credit, delaying payments on purchases for as long as possible factoring overdraft grants venture capital debentures loan share issues owners savings leasing.

(5 marks)

The public sector refers to both central and local government, and provides services to

the public such as education, health and defence. The finance for these services normallycomes from taxes but any other funds have to be borrowed.

Local Government Source of Finance

Government funding

Council tax

Rent from propertiesIncome from business units

Central Government Source of Finance

Treasury bills

Gilt-edged securities

National savings

Public private partnerships

A public private partnership (PPP) is a partnership between the government and privatesector organisations to provide services or build facilities for the public.

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Private finance initiative (PFI) enables the public sector to buy services which give bestvalue. The private partner builds, designs, finances and operates the facility and thepublic sector pays for the service.

(5 marks)

A further four marks for discussion of how the source and amount of finance required fora business is influenced by the success of the company, its profitability, ROCE, gearingratio, etc.

Eight marks for discussion on the impact of the economy, levels of employment,spending, borrowing, interest rates and inflation, etc.

(12 marks)

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4. Amber Ltd has to make a decision about whether to purchase Machine A or Machine

B. Machine A costs 175,000 and Machine B 160,000. Both machines are expectedto last five years. The cash flows from each machine are as follows:

Machine A Machine B

Year 1 50,000 60,000Year 2 50,000 60,000Year 3 50,000 30,000Year 4 30,000 20,000Year 5 25,000 20,000

DISCOUNT FACTORS

Number ofYears

4% 6% 8% 10% 12%

1 0.961 0.943 0.926 0.909 0.893

2 0.925 0.890 0.857 0.826 0.797

3 0.889 0.840 0.794 0.751 0.712

4 0.855 0.792 0.735 0.683 0.636

5 0.822 0.747 0.681 0.621 0.567

a. Calculate the payback period of each machine.(6 marks)

b. Calculate the internal rate of return (IRR) for each machine.(14 marks)

c. Advise the company on which machine to purchase.(5 marks)

Marking guide (LO 2.3, 2.3.1, 2.3.2)a.

Payback for Machine A is 3 years 10 months.(3 marks)

Payback for Machine B is 3 years 6 months.(3 marks)

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b.

Year 4%Discountfactor

MachineA

MachineB

10%Discountfactor

MachineA

MachineB

0 1.0 -175,000 -160,000 1.0 -175,000 -160,000

1 0.962 48,100 57,720 0.909 45,450 54,540

2 0.925 46,250 55,500 0.826 41,300 49,560

3 0.889 44,450 26,670 0.751 37,550 22,530

4 0.855 25,650 17,100 0.683 20,490 13,660

5 0.822 20,550 16,440 0.621 15,525 12,420

NPV 10,000 13,430 NPV (14,685) (7,290)

(6 marks)

IRR Machine A = 4 + 6 (10,000/24,685) = 6.43%(4 marks)

IRR Machine B = 4 + 6 (13,430/20,720) = 7.89%(4 marks)

Although 4% and 10% used in study guide example, the candidate may choose another

value e.g. 12%.

c.Machine B has the higher IRR, lower initial investment and lower payback period.One mark for each attribute identified.

(3 marks)

Machine A has steadier cash inflows but with a higher initial investment and a lower IRR.(1 mark)

Company is advised to invest in Machine B.(1 mark)

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Section C: Managing expenditure

5. Extract from the standard cost card for part no 123x:4. the direct material price and usage variances

(10 marks)5. the direct labour rate and efficiency variances.

(10 marks)

Standard cost/UnitRaw materials 56 kgs @ 8kg 448Direct labour hours 10 hours @ 8.5 per hour 85

Actual results for the periodProduction 125 partsActual materials used 7,250kgs at a cost of 56,550Direct wages paid 11,480 for 1,312 hours

c. Provide reasons for these variances calculated.(5 marks)

Marking guide (LO 3.1.1, 3.1.2)a.Direct Material Price Variance

AQ (SP AP)(2 marks)

7250(8 7.8) = 1450 (F)(2 marks)

Direct Material Usage Variance

SP (SQ AQ)(2 marks)

8(7000 7250) = 2000 (A)

(2 marks)

Check: - AC SC = 56,550 - 56,000 = 550 (A)(2 marks)

b.Direct Labour Rate VarianceAH (SR AR)

(2 marks)

1312(8.5 8.75) = 328 (A)(2 marks)

Direct Labour Efficiency Variance

SR (SH AH)(2 marks)

8.5(1250 1312) = 527 (A)(2 marks)

Check: - AC SC = 11,480 - 10,625 = 855 (A)

(2 marks)

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c.Possible Reasons for Variances

Direct Material Price Variance Direct Labour Rate Variance

Change in purchase priceChange in delivery costs

Non standard materialpurchased

Increase in wagesNon standard grade of employee

Direct Material Usage Variance Direct Labour Efficiency Variance

Waste or scrap excessiveDefective materialRejection of completed workPilferage

Non standard material usedIncorrect booking of material

usage

Slow employeeEmployee delayed by breakdowns,no materials etcPoor working conditions

Employee restricts outputEmployee injured or ill

Quality of supervisionNon standard grade of employee

Incorrect booking of labour hours

(5 marks)

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6. Examine the main attributes of inventory control.

(25 marks)

Marking guide (LO 3.3, 3.3.1, 3.3.2, 3.3.3, 3.3.4)The level of inventory, or stock, held at any given time can be a critical factor for an

organisation. The cost of holding too much stock can mean the difference betweenprofitability and failure, whilst holding too little can result in inefficiencies in production

and potentially loss of customers. Inventory control involves the ordering, storage anddelivery of a range of goods or items.

(2 marks)

The main attributes of inventory control are as follows:

ensuring stock is available to meet demand to facilitate ordering in economic quantities to take advantage of bulk purchasing discounts to compensate for any fluctuates in lead time (the time taken for the supplier to

deliver the goods after the order has been placed) to avoid stockouts/stockout costs to meet possible shortages in the future to buy when the price is low and expected to rise.One mark for each attribute identified plus one further mark for development.

(16 marks)

The objective of inventory control is to maintain stock levels so that combined costs;holding costs, ordering costs and stockout costs; are kept to a minimum.Inventory control finds policies that minimise associated costs.

(2 marks)

Two common stock control policies used are the fixed order quantity system (alsoreferred to as the reorder level system) and the periodic review system.

The economic order quantity (EOQ) is the number of items that should be included in asingle order so that total inventory costs are minimised.

Pareto or ABC analysis is sometimes referred to as the 80/20 rule and suggests that80% of stock items need 20% attention, while the remaining 20% of items need 80% ofattention.

The just-in-time (JIT) approach to stock control involves the elimination of any

unnecessary stock. With just-in-time significant savings can be made in inventory costs,reduced holding costs, little wastage and improved cash flow.(5 marks)

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Section D: Managing facilities

7. Assess the contribution of a facilities manager in designing sustainability anddelivering corporate social responsibility.

(25 marks)

Marking guide (LO 4.1.1, 4.3.4)Corporate social responsibility (CSR) and sustainability has been driven by a number offactors, including increased legislation, rising energy costs and the media attention

drawn by environmental issues such as climate change. CSR is essentially about how abusiness takes account of its economic, social and environmental impacts in the way it

operates, maximising the benefits and minimising the downsides.(5 marks)

Facilities managers have a key role to play in contributing to CSR, as they can translatethe high-level strategic change into day-to-day reality for people in their work or livingspace. Facilities managers know how buildings work in practice, and the facilitiesmanagement approach emphasises sustainability, long-term thinking and life-cycle

costing.

Reducing greenhouse-gas emissions and improving energy performance is a keycomponent of sustainable development.Facilities managers can help to achieveorganisation and government targets on energy-efficiency and reductions in carbon-

dioxide emissions as they control heating, cooling systems, lighting and, increasingly, allelectronic appliances and information technology in their buildings.

(5 marks)

It is widely accepted that there is a need to take action on climate change by reducingcarbon emissions.

The facilities manager has a significant role to play in reducing carbon emissions byimproving energy efficiency of buildings through better energy management andmaintenance.

Improving employees awareness of the energy used can by achieved by installing andusing meters to provide an accurate picture of electricity use. Strategies can be agreedfor heating and cooling. Facilities managers can provide advice on simple energy savingmeasures such as lighting controls.

Facilities managers can endeavour to reduce energy consumption in the areas of thebuilding they directly control e.g. reducing the need for heating in stairwells, lightingcontrols (daylight and presence controls) in corridors and toilet areas.

A proactive maintenance schedule for plant should ensure that it is always running atmaximum efficiency. Replacing of existing plant for more energy efficient alternatives canbe influenced by the facility manager.

(10 marks)

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Facilities managers should have an enhanced understanding of the businesssinfrastructure and with the potential to build effective relationships with employees theycan play an important role in helping to deliver environmental improvements tobusinesses e.g:

agreeing effective systems for waste reduction, treatment and disposal implementing effective water management measures energy consumption having good measures in place to reduce environmental

impact and reduce energy bills

reducing paper consumption recycling of paper, aluminium, glass and general waste by providing central recycling

areas.(5 marks)

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8. As a facilities manager for an organisation experiencing financial difficulties write areport to the Board of Directors identifying areas where savings can be made withoutcompromising the level of facilities management provided.

(25 marks)

Marking guide (LO 4.2.1, 4.2.3, 4.2.5, 4.2.7, 4.3.4)Candidates need to respond in the format of a report.

An appropriate format would be:

title terms of reference analysis/discussion conclusions recommendations.

(9 marks)

Typical areas might include:

assets that can be disposed off sale and lease back of properties review of contracts/SLAs to ascertain can these be terminated or re-negotiated review of in house versus outsourcing provision of services currently provided re-tendering of some services to ensure greater value for money energy efficiency greater control of heating and lighting systems and their usage monitored recycling waste management insulation of buildings minimisation of water usage selecting products that are either reusable, easy to dispose of or from materials that

are not in short supply planned preventative maintenance this is proactive and more effective in achieving

cost savings and energy efficiency.

Two marks for eight of the above or similar areas.(16 marks)


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Management

Examination paper

September 2010

Unit 4: Human resource management and practice


Time: 09:30 12:30



One question must be attempted from each section.



Questions follow .


M


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Section A: HRM in context and practice

1. According to Truss et al, (1997) the hard and soft models of HRM are based oncontrasting views and ideas of management control strategies and human nature.

Evaluate the tw o models of HRM, and using work based examples to support your

answer, identify the features of each model that would be most suitable in todaysbusiness environment.

(25 marks)

2. Using work based examples to support your answer, analyse the importance ofemployee relations and the key aspects that comprise the employment relationship.

(25 marks)

Section B: Leading and motivating teams

3. According to Tuckman and Jenson, (1997) groups are formed in a staged way.Analyse this model, using work based examples to support your answer.

(25 marks)

4. You have been asked to deliver a presentation to a group of students attending aDiploma in Management programme, entitled evaluate the differences betweenmanagement and leadership. Describe what you would say and provide work basedexamples to make your presentation relevant and interesting.

(25 marks)

Section C: Learning and development

5. According to the CIPD (2002), learning theory can be classified into four clusters.Using work based examples to support your answer, evaluate the four theories of

learning. (25 marks)

6. You have been asked to write an article for the IAM magazine entitled Evaluate theimportance of CPD and lifelong learning to individuals and organisations. Outlinewhat you would say and provide work based examples to enhance interest andunderstanding of the concepts.

(25 marks)

Section D: Per formance and rew ard

7. In your role as HR manager you have been asked to write a report to the ChiefExecutive which evaluates two organisational performance measures. The reportshould include your recommendation and justification on which measure would be

the most appropriate for an organisation of your choice.(25 marks)

8. Counselling can be an effective strategy for managing performance.a. Analyse this statement.

(6 marks)

b. Evaluate the three stages of the counselling process and highlight any potentialdifficulties that may arise within each stage. Put forward your recommendations

on how these difficulties may be overcome and provide work based examples to

support your answer. (19 marks)

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2010 IA



Management

Marking guide

September 2010

Unit 4: Human resource management and practice


Time: 09:30 12:30



One question must be attempted from each section.



Questions follow .


M


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Section A: HRM in context and practice

1. According to Truss et al, (1997) the hard and soft models of HRM are based oncontrasting views and ideas of management control strategies and human nature.

Evaluate the tw o models of HRM, and using work based examples to support your

answer, identify the features of each model that would be most suitable in todaysbusiness environment.

(25 marks)


Candidates may define HRM as resource centred, directed mainly at managementsneeds for human resources to be provided and deployed. Demand rather than supply isthe focus of the activity. There is greater emphasis on planning, monitoring and controlrather than mediation. Problem solving is undertaken with other members of themanagement on HR issues rather than directly with employees or their representativesTorrington et al., (2005). The development of HRM from personnel management hasproduced a number of models and theories, two of which are the hard and soft forms.

(3 marks)

Answers should highlight that the soft model is based on viewing the individual as ahuman being, utilising human talent and capability and generating commitment fromemployees.

(1 mark)

Other features include:

generating a motivated, skilled and harmonious workforce generating commitment to the organisation and its goals, objectives, strategies and

organisational culture

winning individual hearts and minds treating human beings as humans and not as a resource or commodity generating two way communication between management and the workforce to

promote commitment and harmony.

Five marks for highlighting each with a further five marks available for an evaluativeelement and/or example.

(10 marks)

The hard model of HRM which advocates that individuals are an organisational resourceand should be treated as such.

(1 mark)

Key features include:

the alignment of human resource strategy with business strategy promoting the flexible workforce individuals are a resource to be exploited the resource based view is a conduit for managerial control.Four marks for highlighting each with a further four marks available for an evaluativeelement and/or example.

(8 marks)

There are clear distinctions between the two approaches. The soft approach reflects thepersonnel management model; the hard approach mirrors the HRM model. In practiceboth models are utilised to ensure that individuals, as a resource and as human beings,

are encouraged to be as productive and efficient as possible.(2 marks)

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2. Using work based examples to support your answer, analyse the importance of

employee relations and the key aspects that comprise the employment relationship.(25 marks)


Candidates should highlight that the employment relationship refers to the formal andinformal relationship that exists between employers and employees. Torrington et al.

describe employee relations as being responsible for preventing or alleviating conflict andensure a harmonious working environment is facilitated. In addition answers shouldhighlight that the employment relationship has the potential for conflict and it isimportant that managers exercise a degree of influence and control to facilitate thecompletion of key business activities.

(2 marks)

This is important in: helping to achieve stability in employee relations by channelling discontent through

agreed procedures

increasing productivity and utilisation of labour; increasing co-operation andcommitment to embrace change

minimising disruption at work and reducing the likelihood of overt conflict.Other appropriate examples would be acceptable.

(2 marks)

Answers should analyse the following.The employment relationship can include:

the contractual relationship; the employee and employer owe each other variousduties and obligations, including the employers duty to provide a healthy and safeworking environment

negotiation and collective bargaining; the process of determining employee terms andconditions of employment by bargaining between employers and unions

employee involvement and communication; employees are encouraged to participatein problem solving and decision making with employers

discipline and grievance; formulation of policies and procedures to manage conflictand disagreements between stakeholders in the employment relationship.

The psychological contract is a positive contract and it forms a key part of theemployment relationship. It promotes employee satisfaction, commitment and leadsto enhanced performance.

Three marks for highlighting each area above, subtotal fifteen marks with a further fivemarks available for examples and evaluative element.

(20 marks)

Answers may conclude by stating that employee relations should be linked to thecorporate strategy of the business and should be proactive.

(1 mark)

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Section B: Leading and motivating teams

3. According to Tuckman and Jenson, (1997) groups are formed in a staged way.Analyse this model, using work based examples to support your answer.

(25 marks)

Marking gu ide (LO 2.3)Answers may highlight that groups enable large tasks to be broken down into componentparts and facilitate the sharing of essential knowledge and experience. Schein suggests

that groups get together for a specific purpose and that they have some shared identity,particularly in achieving common goals, but not necessarily those of the organisation. He

defined a group as any number of people who: interact with each other; perceivethemselves to be a group; interact with each other towards achieving goals or aims.

(4 marks)

Candidates should analyse the stages in group formation:

forming; collection of individuals, probably strangers who are unaware of each otheror each others motives and are vying for group roles and the leader position

storming; awareness of each other, open airing of views, personal goals and agendascome to the surface, interpersonal conflict may be present

norming; ground rules are established, focus on the task is stronger, co-operationbecomes evident

performing; group begins to perform effectively, procedures and structures are inplace, members become supportive and trusting

adjourning; group may be disbanded because of task completion.Two marks for the identification and description of each stage, sub total ten marks, two

marks for an evaluative element and example of each stage, sub total ten marks.(20 marks)

Candidates could conclude by stating that according to Tuckman and Jenson (1997) thegroup becomes a team only when they reach the fourth stage performing.

(1 mark)

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4. You have been asked to deliver a presentation to a group of students attending a

Diploma in Management programme, entitled evaluate the differences betweenmanagement and leadership. Describe what you would say and provide work basedexamples to make your presentation relevant and interesting.

(25 marks)


Answers should highlight that leadership and management are often usedinterchangeably, but there are differences between the two activities. According toRollinson (2002), a manager can be defined as a person formally appointed to a role inthe hierarchy, associated with which is the formal authority to direct the actions ofsubordinates. Among other things, the role is concerned with some combination ofplanning, organising, directing and controlling the activities of human resources towardsthe achievement of set objectives.

The key word in this definition is authority. This is by virtue of the managers position.

However to exercise this authority effectively, many managers rely on a certain degree of

personal power or charisma to influence others to conduct various tasks and activities.(4 marks)

Management is more usually viewed as getting things done through other people in orderto achieve stated organisational objectives. The manager may react to specific situationsand be more concerned with solving short term problems.

(1 mark)

In contrast , Rollinson defines a leader as someone who occupies a role which involvesconforming to a set of behavioural norms and expectations emanating from followers, inreturn for which they confer on the leader a degree of power that allows the leader toinfluence their actions.

Here, the key word is the power or ability to influence. Without this, leaders could notcope to be effective in their task. The emphasis of leadership is on interpersonal

behaviour in a broader context. It is often associated with the willing and enthusiasticbehaviour of followers and does not necessarily take place within the hierarchicalstructure of the organisation.

(4 marks)

Candidates may provide examples which could include, a manager:

administers-a leader innovates maintains- a leader develops focuses on systems and structure-a leader focuses on people

keeps an eye on the bottom line- a leader has an eye on the horizon does things right- a leader does the right things.One mark for the identification of each, subtotal five marks, one mark for the evaluationof each, subtotal five marks and one mark for an example of each, subtotal five marks.

(15 marks)

Answers may conclude by stating that despite a continuing debate on differencesbetween management and leadership, there is a close relationship between them. Today,

there is an increasing tendency to emphasise the interrelationship between managementand leadership and to see them as more synonymous.

(1 mark)

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Section C: Learning and development

5. According to the CIPD (2002), learning theory can be classified into four clusters.Using work based examples to support your answer, evaluate the four theories oflearning.

(25 marks)

Marking gu ide (LO 3.1)Candidates may highlight that research has found that different people learn in different

ways, at different stages, by different methods and at different speeds. This suggeststhat organisations and learning and development professionals need to gain an

understanding of how and why individuals learn and the impact this can have on theorganisation as a whole. Bass and Vaughan define learning as a relatively permanentchange in behaviour that occurs as a result of practice or experience.

This practice or experience can be gained experientially while learning on the job. Thechange in behaviour can be demonstrated through improvements in work practises andstandards, being able to use more complex machinery and the utilisation of higher skills

and competences.(4 marks)

Answers should evaluate the how according to CIPD (2002) learning theory can beclassified into four clusters.*

Learning as behaviour:Centred on the behavioural psychologists (behaviourists) who advocated that anyalteration in an individual is as a direct result of external stimuli and the resultantconsequences of those events. Skinner concluded that desired behaviours can be

reinforced through the application of rewards conditioning the individual to performvarious acts repeatedly. These experiments were mainly carried out with animals.

Learning as understanding:Concentrates on learning as a rational and conscious process. Cognitivists viewlearning as a process of understanding, intuition, developing mental models and theconstruction of patterns of reality based on what is going on in the environment. In

this way, individuals absorb information, internalise it and then interpret it asknowledge. Theorists such as Gagne advocated that learning could be stored away for

future use but only after it had been acquired.

Learning as knowledge construction:Constructivist theorists advocate that individuals are active rather than passiveagents in their own learning experience. They believe that knowledge is personal tothe individual and does not exist in the environment. As such, knowledge is inindividuals heads rather than existing in the public domain. Individual knowledge is

therefore based on personal experience and how these experiences are used to gain,enhance and exploit new knowledge.

Learning as social practice:Learning theorists such as Bandura, see learning as effective when it can betransferred to a social setting. Social interaction may give rise to more effectivelearning, as it facilitates shared learning experiences. Senge also suggests that team

learning is an activity enables individuals and the organisation to be more effective,as individuals share each others visions, mental models and experiences. These are

then transferred, via knowledge management initiatives, for the organisation to useand exploit.

*Candidates should give more detail.

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Three marks for the identification of each subtotal twelve marks. Two marks availablefor examples and an evaluative element within each cluster subtotal eight marks.

(20 marks)

Candidates may conclude by stating that the theories presented give an indication of how

different methods can be utilised to facilitate an environment or the conditions that areconducive to learning.

(1 mark)

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6. You have been asked to write an article for the IAM magazine entitled Evaluate the

importance of CPD and lifelong learning to individuals and organisations. Outlinewhat you would say and provide work based examples to enhance interest andunderstanding of the concepts.

(25 marks)


Candidates should highlight that CPD is a process whereby individuals take responsibilityfor their own continuous learning and knowledge acquisition. Lifelong learning wasdefined by the European Commission (2001) as all purposeful learning activityundertaken on an ongoing basis with the aim of improving knowledge, skills andcompetence. This definition emphasises the engagement in formal and informallearning, aimed at the continuous acquisition of learning and knowledge.

(2 marks)

Lifelong learning differs from CPD, as it not specifically geared towards the development

of professionalism, although it could lead to enhanced professionalism if such an

objective is sought.(1 mark)

Answers should evaluate CPD which according to CIPD (1999) has the followingcharacteristics:

continuous, learning never ceases, regardless of seniority and age professional, it focuses on personal competence in a professional role and ensures

that professionals remain up to date in a changing world. It also emphasises the on-

going appreciation of new concepts, laws, skills, organisational forms and otherinfluences

concerned with development because its ultimate goal is to improve personalperformance and enhance career progression.

One mark for the explanation of each, subtotal three marks, with a further markavailable for each example given, subtotal three marks, one mark for each evaluative

element, sub-total three marks.(9 marks)

The key to lifelong learning is to make learning opportunities more accessible andavailable to all employees at all stages of their career. The importance of lifelong learningcould include:

to help develop a knowledge based global economy stimulate long term economic growth continuous development of skills, knowledge and understanding are essential for

employability and career enhancement to help develop basic and key skills.One mark for the explanation of each, subtotal four marks, one mark for each examplegiven subtotal four marks and then one mark for each evaluative element subtotal fourmarks.

(12 marks)

Candidates may conclude by stating that CPD and lifelong learning are two important

activities that enhance both individual and organisational performance. They can lead toenhanced employability and motivation and improved productivity.

(1 mark)

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Section D: Per formance and rew ard

7. In your role as HR manager you have been asked to write a report to the ChiefExecutive which evaluates two organisational performance measures. The reportshould include your recommendation and justification on which measure would bethe most appropriate for an organisation of your choice.

(25 marks)


Candidates may highlight that according to Armstrong and Baron (1998), themeasurement of performance is important because if it cant be measured it cant be

managed. They state that: Measurement is an important concept in performancemanagement. It is the basis for providing and generating feedback, it identifies wherethings are going well to provide the foundations for building further success and itindicates where things are not going so well so that corrective action should be taken.

(2 marks)

Answers should evaluate two of the most widely recognised and used performance

measures, the Balanced Scorecard and the Business Excellence Model (EFQM).

The Balanced Scorecard (BSC)Definition:

a strategic planning and management system used to align business activities to thevision statement, Kaplan and Norton.

It is a set of measures that allows managers to have a comprehensive view of thebusiness by measuring business performance in four ways:

finance: return on investment, cash flow, return on capital employed, financial results customer: delivery/quality performance to customer, customer satisfaction and

retention rate, customer percentage of market

internal business processes: number of activities and duplicate activities per function,process alignment learning and growth: is there the correct level of expertise for the job?, employee

turnover, job satisfaction, learning opportunities.

Two marks for the identification of each sub total eight marks, with two marks available

for an evaluative element.(10 marks)

Producing a scorecard enable business activities to be linked to strategic goals and allowsindividual performance to be linked to overall strategic activities. It can also result in;improved processes, motivated/educated employees, enhanced information systems,enhanced monitoring of progress and greater customer satisfaction.

(2 marks)

The Business Excellence Model (EFQM)The business excellence model is a self assessment framework for measuring thestrengths and areas for improvement of an organisation across all of its activities. Themodel focuses on whether customer satisfaction has been achieved in nine areas:leadership, people management, strategy, partnerships and resources, process, people

results, customer results, society results and key performance results.

Three marks plus two marks available for an evaluative element.(5 marks)

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Thomas (1995) states that the model can help businesses manage performance bydeveloping a greater awareness of how business results are achieved and can help toalign business and organisational objectives. The model can also help businesses keep upto date with latest thinking by providing a framework for comparison with other

organisations.

(3 marks)

Three marks available for recommendation and justification of which model to use for anorganisation of choice.

(3 marks)

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8. Counselling can be an effective strategy for managing performance.a. Analyse this statement.

(6 marks)

b. Evaluate the three stages

Documents

Advanced Diploma Past Papers September 2010