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Discuss how management activities can help Ruth improve the performance of the business - Leaving Cert Business - Question A - 2006
Question A
Discuss how management activities can help Ruth improve the performance of the business. Ruth Cavanagh became Managing Director of Stylish Décor Ltd., a retail and ... show full transcript
Worked Solution & Example Answer:Discuss how management activities can help Ruth improve the performance of the business - Leaving Cert Business - Question A - 2006
Step 1
Planning
Answer
Management activities begin with planning, which involves selecting organisational goals and objectives and seeking out ways to achieve them. For Ruth, this means clearly defining her mission to become a market leader. This objective can guide the company's strategies, helping to focus the staff’s efforts on penetrating the market by fifty percent within the next five years. Creating a mission statement and strategic plan will provide direction and reduce uncertainty in her initiatives.
Step 2
Organising
Answer
Organising is essential for ensuring that activities within the business are well-coordinated. Ruth should introduce a clear organisational structure to assign roles and responsibilities effectively. This could include implementing a line organisation to delineate duties in purchasing, sales/marketing, and customer service. Such an approach will facilitate efficient operation and help staff understand their contributions towards achieving the business goals.
Step 3
Controlling
Answer
Controlling involves measuring performance against planned objectives and taking corrective action when necessary. Ruth should establish quality control systems and budgetary controls to ensure that the business operates within its financial constraints. By implementing metrics to evaluate staff performance and project progress, she can pinpoint areas needing improvement. This will not only help in managing current operations but also guide future decision-making.