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2017-2018 Rumseys Guide To Ib BM Final
2017-2018 Rumseys Guide To Ib BM Final
2017-2018 Rumseys Guide To Ib BM Final
Rumsey's
Guide to IB
Business Management
2017-2018
1
Table of Contents
Business Management Introduction .......................................................................... 3
6 Concepts ................................................................................................................. 5
CUEGIS ...................................................................................................................... 7
Syllabus Outline........................................................................................................ 16
Unit 1 ....................................................................................................................... 16
Unit 2 ....................................................................................................................... 18
Unit 3 ....................................................................................................................... 20
Unit 4 ....................................................................................................................... 22
Unit 5 ....................................................................................................................... 24
Assessment .............................................................................................................. 27
IA Guide ................................................................................................................... 28
Research/Data.......................................................................................................... 30
Brainstorming/TimeLine ........................................................................................... 34
2
Business Management
Business management is a rigorous, challenging and dynamic discipline in the individuals and society subject group. The
role of businesses, as distinct from other organizations and actors in a society, is to produce and sell goods and services
that meet human needs and wants by organizing resources. Profit-making, risk-taking, and operating in a competitive
environment characterize most business organizations.
Although business management shares many skills and areas of knowledge with other humanities and social sciences, it
is distinct in a number of ways. For example, business management is the study of decision-making within an
organization, whereas economics is the study of scarcity and resource allocation, both on micro and macro levels.
Business management examines the use information technology in business contexts, whereas information technology
in a global society (ITGS) critically examines its impact on other fields, such as health and government.
Business management studies business functions, management processes and decision-making in contemporary
contexts of strategic uncertainty. It examines how business decisions are influenced by factors internal and external to
an organization, and how these decisions impact upon its stakeholders, both internally and externally. Business
management also explores how individuals and groups interact within an organization, how they may be successfully
managed and how they can ethically optimize the use of resources in a world with increasing scarcity and concern for
sustainability. Business management is, therefore, perfectly placed within the individuals and societies subject area:
aiming to develop in students an appreciation both for our individuality and our collective purposes.
The Diploma Program business management course is designed to develop students’ knowledge and understanding of
business management theories, as well as their ability to apply a range of tools and techniques. Students learn to
analyze, discuss and evaluate business activities at local, national and international levels. The course covers a range of
organizations from all sectors, as well as the socio-cultural and economic contexts in which those organizations operate.
Emphasis is placed on strategic decision-making and the operational business functions of human resource
management, finance and accounts, marketing and operations management. Links between the topics are central to the
course, as this integration promotes a holistic overview of business management. Through the exploration of six
concepts underpinning the subject (change, culture, ethics, globalization, innovation and strategy), the business
management course allows students to develop their understanding of interdisciplinary concepts from a business
management perspective.
The course encourages the appreciation of the ethical concerns, as well as issues of corporate social responsibility (CSR),
at both a local and global level. Through the study of topics such as human resource management, organizational growth
and business strategy, the course aims to develop transferable skills relevant to today’s students. These include the
ability to: think critically; make ethically sound and well-informed decisions; appreciate the pace, nature and significance
of change, think strategically; and undertake long term planning, analysis and evaluation. The course also develops
subject-specific skills, such as financial analysis.
3
Approaches to Learning IB BM
Illustrated with a triangular diagram, concepts are anchored in the tools, techniques and theories of the subject and
come alive through case studies and examples. Together, these help students to acquire a holistic and integrated
understanding of business management.
Concepts
(Change, culture, ethics, globalization,
innovation, strategy)
Contexts Content
4
Concepts
Concept Understanding in relation to the course Example of context that allows for the exploration of
concepts
Change Competition, new technologies and markets, and Organizational objectives
trends in consumer behavior lead business Functions and evolution of human resource
organizations to adapt their objectives, strategies management
and operations. Organizational structure
Sources of finance
Success emerges from the ability to research and Cash flow
respond to signals in both the internal and external Marketing planning
environment. Sales forecasting
Market research
Research and development
Crisis management and contingency
planning
Ethics Every business decision has moral implications. Introduction to business management
Types of organization
These consequences can be significant for internal Organizational objectives
and external stakeholders and the natural Stakeholders
environment. External environment
Leadership and management
Final accounts
The role of marketing
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Innovation Incremental or radical improvements to a business External environment
idea, or the generation of new ideas in relation to a Growth and evolution
final product, service or process, are the result of Leadership and management
internal or external influences. Organizational culture
For many business organizations, a key challenge is Sources of finance
bringing in “the new” and managing the process of Investment appraisal
improvement in a sustainable way. Market research
Lean production and managing quality
Research and development
6
CUEGIS
MOST important part of assessment is your writing structure.
USE IA or EE business.
The 6 concepts have been incorporated into your Paper 2 exam, question C which is a 20 mark essay. Here you will have
to discuss two concepts in relation to a real world organization of your choice. Therefore, you must understand the
concepts and also have knowledge of real world examples and case studies. I will of course provide some examples in
lessons, but there is also further emphasis on you now, as the learner, to take the initiative and keep up to date on the
dynamic nature of business around you. A key task will be to understand how different theories that you learn (content)
fit into each applicable concept, through a case study (context). In other words, you must be able to recognize and pick
out relevant points made considering the concepts, and discuss these based on syllabus content, supported by evidence
from the context of the case.
• The principal focus of questions in this section is on the concepts of change, culture, ethics, globalization, innovation
and strategy that underpin the business management course.
• While the principal focus for each question is on two of the concepts, students need to draw on their knowledge of
other relevant topics in the syllabus.
• There is no stimulus material provided for the questions.
• Students are required to address the question in relation to one real-world organization but may use information from
a range of sources, which may include real-world case studies examined in class and IA research. The real-world
organization that students use in their response must not be the case study organization featured in paper 1.
• The response should consider the perspectives of individuals and societies upon which the real-world organization
impacts.
• Students answer one extended response question from a choice of three.
• Assessment objective level 3 (AO3) command terms is used in each question.
• Each question hence requires: knowledge and understanding (AO1); application and analysis (AO2); synthesis and
evaluation (AO3); and a variety of appropriate skills (real-world organization knowledge).
• Section C is worth a total of 20 marks. Marks are allocated using assessment criteria.
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The meaning of the CUEGIS concepts
Change: reflecting the greater speed with which decisions need to be made and circumstances change in the operating
environment of most businesses.
Due to the conflicting forces, change must be managed within organisations if they are to move forward and remain
competitive. The relative strength of these forces determines whether the change should take place. Force-field analysis
is a popular management tool to aid this process. It acts as a framework for helping managers to understand the
pressures for and against any change. By identifying these forces, managers are able to assess the effects that the forces
may have. Managers can then plan to strengthen the forces supporting a decision for change, and reduce the impacts of
opposition to change.
Consider the following example. For generations, Kodak was synonymous with photography. Founded in 1889, the
company was one of the best-known brands of the twentieth century. However, with the rise of digital cameras, the
market for camera films (dominated by Kodak) died a pretty quick death. Kodak, however, ignored the change, having
expanded its global workforce and increased production of the old technology. By 2006 it was selling an obsolete
product, and in 2013 the company filed for bankruptcy protection.
Culture: appreciating that businesses need to align a broad spectrum of individual, collective and societal goals.
Culture is the values, beliefs and norms of an organisation, country or other social grouping. It shapes the customs of
people and how things get done. Culture-related questions relevant to the IB business management course include:
What are the cultural norms in your country regarding women’s rights in the workplace? What does ‘equal
opportunities’ mean in your country? How is this translated in the workplace? What does ‘inequality’ mean? How
important is business etiquette in your country? What about in other countries?
Language is an integral part of culture. Even countries that share a common language (such as Australia and the USA)
have cultural differences embedded in their language.
Ethics: emphasizing the fact that the ethical considerations businesses face are substantial and near all pervasive,
instead of being peripheral and isolatable.
Ethics are the socially accepted moral principles that guide decision making, based on the collective belief of what is
right and what is wrong. The rather subjective nature of ethics means it is sometimes unclear what is ‘right’ or ‘wrong’,
especially when looking at an issue from the perspective of various cultures. Consider the examples below: Is it morally
acceptable for a business to fabricate its financial accounts if this prevents mass job losses?
Is it possible to ensure equity and equality in the workplace? Is it acceptable for a business to monitor the online
activities of employees, e.g. their e-mail correspondence? Can it ever be morally acceptable to take credit for the work
of others? Can acting unethically ever be ‘good’ for a business? Does acting ethically hinder the profitability of an
organisation?
Globalization: reflecting the interconnected patterns of production and consumption shaped by businesses and affecting
them.
Globalisation provides both opportunities and threats for businesses. Consider these examples: Globalisation
considerably increases the level of competition, such as Vodafone (UK) competing with mobile operator 3, owned by
Hutchison Telecom (Hong Kong). Meeting customer expectations and needs becomes increasingly more demanding. To
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have any competitive advantage, businesses must meet the ever-greater customer demands for quality, service, price
and after-sales care. Businesses can strive to build a global presence. Li Ka-Shing, a self-made multibillionaire and Asia’s
richest man, has a reported wealth of over $28.8 billion through the diversity of his global businesses in the property,
food, consumer electronics, telecommunications, utilities and ports industries.
Multinational companies have greater choice of location of their production facilities. For example, Apple chose to
outsource production to China due to the relatively low costs of labour and land. Mergers, acquisitions and joint
ventures allow businesses to grow at a faster pace than if they were to expand organically. For example, BMW’s joint
venture with Brilliance China Automotive in 2003 gave the German car manufacturer direct access to the lucrative
Chinese market. Multinational companies and e-commerce businesses benefit from the increased customer base that
globalisation brings. With China and India embracing globalisation, there are huge opportunities for businesses that
trade with the two most populated countries in the world.
Innovation: emphasizing the need for businesses to renew themselves in the competitive, technologically advanced
market place with increasingly sophisticated customers.
Innovation in the corporate world can empower businesses and give them competitive advantages. Many of the most
economically successful businesses and countries are ones that have an innovative corporate culture. Innovative
entrepreneurs are those who come up with and commercialise new ideas or reinvent (redefine) old ideas. In some cases,
they even create new industries, such as smartphones and tablet computers. In today’s highly unpredictable business
world, innovation can be an important strategy. Hence, the vast majority of large multinational companies are financially
committed to innovation.
Innovation can apply to all aspects of business activities, not just products. For example, innovation is integral to kaizen.
Management guru Michael Porter said that innovation is essential for the prospects of a business and for the economic
prosperity of a country. Innovation requires managers to think creatively and more holistically about their entire
business operations.
For example, many hotels and restaurants use customer feedback forms to improve their services. Schools often use
assessment data to measure student performance and to take appropriate actions for continuous improvements to
student learning.
Strategy: reflecting the importance of holistic long-term planning in an operating environment with the above attributes.
Strategy is about devising plans to achieve an organisation’s long-term goals. There are three stages to the strategic
process.
Most organisations strive to anticipate the future needs of their stakeholders in order to be successful. Strategic
analysis is a thorough review of an organisation’s current situation. It is concerned with examining an
organisation’s vision, mission, aims and objectives. Strategic analysis is vital for the prosperity of a business
because managers can become too focused on current needs, so fail to see the future direction of the
organisation. It can help to provide a clear framework to aid decision making and this can help to allocate
resources more effectively. It can also involve, inform and inspire those affected by the process.
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Stage 2: Strategic choice
Determining the desired future of the organisation (where does the business want to be?)
Strategic choice is concerned with generating strategic options for the organisation so it can move on. It requires
an assessment of the financial costs and benefits of the available choices and a consideration of qualitative
factors before selecting the most appropriate strategy.
Determining how to get the organisation to where it wants to be (how does the business get there?)
Strategic implementation is about putting the strategic choice into practice and developing the strategy.
Implementing strategy usually involves change and change management. Effective leadership is at the heart of
successful change management and strategic implementation.
The CUEGIS concepts give you a framework or structure to apply your knowledge to different contexts. You should
become familiar with them and practise applying them to your learning.
10
How you work with CUEGIS during the course
Paper 2, section C of the DP business management assessment is a conceptual extended response question. You are
asked to use two of the six concepts of change, culture, ethics, globalization, strategy and innovation to discuss the
situation and issues faced by real-life organization(s) you have studied during the course, making use of business
management tools, techniques and theories.
Consequently, throughout the business management course, you need to identify real-life organizations to which these
concepts apply. For example, you can identify organizations facing a period of significant change, cultural challenges,
ethical dilemmas, issues related to globalization, strategic decisions or innovation opportunities. Although the
examination questions in paper 2, section C will ask you to discuss only two of the concepts in the context of your
chosen organization(s), you should select organizations to which several of the concepts apply so that you have flexibility
to apply your knowledge in a way required by the specifics of your chosen examination question.
After selecting an organization, you then need to study the change, culture, ethics, globalization, strategy or innovation
aspects of the case holistically: what is going on in the organization with respect to, say, cultural clashes or responses to
globalization? Researching answers through concrete events or decisions is strongly advisable. You should also think
which business management tools, techniques or theories would help you to understand the situation and issues facing
the organization better, and use these to support your analysis. Finally, you need to identify and examine what other
perspectives on the case are possible, from the viewpoint of different stakeholders within and outside the organization.
Tips:
1. Provide a definition of the concepts and the business management content given in the question.
2. Make sure you consistently demonstrate a clear link between the title question and the contents of your essay.
3. Structure your essays using an introduction, body, and conclusion. There should be fit-for-purpose paragraphs
throughout the essay.
4. Use examples of real business organizations which are up to date and link these to the essay title question.
5. You can use the same organization in your IA or an Extended Essay. Have a few real-world organizations to fall back
on.
6. Before starting the essay take time to think about most appropriate organization and consider relevant aspects of the
content.
7. Avoid generic statements and make sure your arguments are substantiated with examples and evidence.
8. Make sure you fully understand the five assessment criteria.
9. Ensure you provide reasoned judgements in your arguments. Answer the why? And give lots of explanation.
10. Knowledge of and reference to the CEO is a good way to identify an individual’s perspective.
The hardest part of the response is the TRIANGULATION between concepts, content and your business. It is
recommended that you outline in full before you start your essay, to avoid ramble. The best responses start
with real examples from businesses that link the concepts and content.
11
CEASL: How to write the CUEGIS essay - CEASL
Before you start your essay, it is worthwhile doing a quick plan. Simply having paragraphs in an essay does not mean
that your ideas flow well. Criterion D (structure) requires you to write “fit-for-purpose” paragraphs. This means that
you must write with clarity, with each paragraph clearly addressing the essay question.
1. Introduction
2. Main body – 3 paragraphs ideal. Apply ‘CEASL’ to each paragraph and use this format for each paragraph:
Make your CLAIM or main point. Use examples/scenarios from the business that link the concept and content.
Relevant concept
Relevant content
STAKEHOLDERS (individuals or group)
ANALYSIS (balanced) …answer why to your claim triangulating all of your evidence. Give advantages and
disadvantages.
3. LINK
Make sure you answer the question explicitly, justifying your answer based on the points made in the main
body.
Summary of your main points.
Final view (substantiated)
12
IBO examples of CUEGIS essay questions
With reference to one or two organization(s) that you have studied, discuss how marketing strategies may
differ in two cultures that you are familiar with.
With reference to one organization that you have studied, examine what changes globalization brings about in
the management of human resources.
With reference to one organization you have studied, compare and contrast the importance of innovation and
ethics for Research and Development (R&D).
With reference to one or two organizations that you have studied, evaluate different strategies businesses can
adopt to respond to issues of globalization.
With reference to one organization that you have studied, discuss the importance of innovation and of ethics in
marketing.
BUSINESS EXAMPLES
Emirates
Amazon
Uber
Facebook
Starbucks
McDonalds
KFC
You need to choose a business that has a range of issues that can exemplify the concepts required and then be applied
to a business function, such as Marketing, HRM, or Accounts and Finance.
13
Overview CUEGIS Learning outcomes
Unit Sub-unit of the CUEGIS Learning outcome
syllabus
C U E G I S
1. Business 1.3 Organizational The need for organizations to change objectives and √ √
organization and objectives innovate in response to changes in internal and external
environment (BO1) environments
2.3 Leadership and How ethical considerations and cultural differences may √ √
management influence leadership and management styles in
(HR3) an organization
4. Marketing 4.1 The role of How innovation, ethical considerations and cultural √ √ √ √
marketing differences may influence marketing practices and
(M1) strategies in an organization
5. Operations 5.1 The role of Operations management strategies and practices for √ √
management operations ecological, social (human resource) and economic
management sustainability (ethics)
(OM1)
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Assessment matrix - KARSI
Marks Criterion A: KNOWLEDGE and conceptual understanding.
0 The work does not reach a standard described by the descriptors below.
1 Superficial knowledge of the given concepts is demonstrated. Business management content is not selected
or the content selected is irrelevant.
2 Satisfactory understanding of one or both of the given concepts is demonstrated. Some business
management content selected is relevant. The relevant content is satisfactorily explained.
3 Good understanding of one or both of the given concepts is demonstrated. The business management
content selected is relevant, though it may not be sufficient. The relevant content is generally well explained,
though the explanation may lack some depth or breadth.
4 Good understanding of both of the given concepts is demonstrated. The business management content
selected is relevant, sufficient and well explained.
Marks Criterion B: APPLICATION
0 The work does not reach a standard described by the descriptors below.
1 The given concepts and/or any relevant business management content are connected to the real-world
organization(s), but this connection is inappropriate or superficial.
2 The given concepts and/or relevant business management content are connected appropriately to the real-
world organization(s), but this connection is not developed.
3 The given concepts and relevant business management content are generally well applied to explain the
situation and issues of the real-world organization(s), though the explanation may lack some depth or
breadth. Examples are provided.
4 The given concepts and relevant business management content are well applied to explain the situation and
issues of the real-world organization(s). Examples are appropriate.
Marks Criterion C: REASONED ARGUMENTS
0 The work does not reach a standard described by the descriptors below.
1 Statements are made but these are superficial.
2 Relevant arguments are made but these are mostly unjustified.
3 Relevant arguments are made and these are mostly justified.
4 Relevant, balanced arguments are made and these are well justified.
Marks Criterion D: STRUCTURE
0 The work does not reach a standard described by the descriptors below.
1 Two or fewer of the structural elements are present, and few ideas are clearly organized.
2 Three of the structural elements are present, or most ideas are clearly organized.
3 Three or four of the structural elements are present, and most ideas are clearly organized.
4 All of the structural elements are present, and ideas are clearly organized.
Marks Criterion E: INDIVIDUALS AND SOCIETIES
0 The work does not reach a standard described by the descriptors below.
1 One individual or group perspective is considered superficially or inappropriately.
2 One relevant individual or group perspective is considered appropriately, or two relevant individual or group
perspectives are considered superficially or inappropriately.
3 At least two relevant individual or group perspectives are considered appropriately.
4 Balanced consideration is given to relevant individual and group perspectives.
Total
Max 20
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Syllabus Outline
Unit 1: Business organization and environment
The reasons why organizations set ethical objectives and the impact of implementing them
16
↙ 1.4 Stakeholders
The interests of internal stakeholders
Employees
Managers
Shareholders
The interests of external stakeholders
Suppliers
Customers
Special Interest Groups
Competitors
Possible areas of mutual benefit and conflict between stakeholders’ interests
↙ 1.5 External environment
STEEPLE analysis of a given organization
Consequences of a change in any of the STEEPLE factors for a business’s objectives and strategy
↙ 1.6 Growth and evolution
Economies and diseconomies of scale
The merits of small versus large organizations
The difference between internal and external growth
17
Unit 2: Human Resource Management
18
↙ 2.4 Motivation
The following motivation theories:
Taylor
Maslow
Herzberg (motivation – hygiene theory)
Adams (equity theory)
Pink
The following types of financial rewards:
Salary
Wage (time and piece rates)
Commission
Profit related pay
Performance related pay
Employee share ownership schemes
Fringe payment (perks)
The following types of non-financial rewards:
Job enrichment
Job rotation
Job enlargement
Empowerment
Purpose to make a difference
Teamwork
How financial and non-financial rewards may affect job satisfaction, motivation and productivity in different cultures.
19
Unit 3: Accounts and Finance
20
↙ 3.5 Profitability and liquidity ratio analysis
Profitability and efficiency ratios:
Gross Profit margin
Net profit margin
ROCE
Possible strategies to improve these ratios
Liquidity ratios:
Current
Acid-test/quick
Strategies to improve these ratios
↙ 3.7 Cash flow
Difference between profit and cash flow
Working capital cycle (cash flow cycle)
Cash flow forecasts
The relationship between investment, profit and cash flow
Strategies for dealing with cash flow problems:
Reducing cash outflow
Improving cash inflows
Looking for additional finance
↙ 3.8 Investment Appraisal
Investment opportunities using payback period and average rate of return (ARR)
21
Unit 4: Marketing
22
↙ 4.5 The four P’s
PRODUCT
The product life cycle
Relationship between the product life cycle and the marketing mix
Extension strategies
Relationship between product life cycle, investment, profit and cash flow
Boston Consulting Group (BCG) matrix on an organization’s products
Branding:
Awareness
Development
Loyalty
Value
Importance of Branding
Importance of Packaging
PRICE
NEW - Appropriateness of the following pricing strategies:
Cost – plus (mark up)
Penetration
Skimming
Psychological
Loss leader
Price discrimination
Price leadership
Predatory
PROMOTION
The following aspects of promotion:
Above the line promotion
Below the line promotion
Promotional mix
Impact of changing technology on promotional strategies (such as viral marketing, social media and social networking)
Guerrilla marketing and its effectiveness as a promotional method.
PLACE
Importance of place in marketing mix
Effectiveness of different types of distribution channels
↙ 4.8 E-commerce
Features of e-commerce
Effects of changing technology and e-commerce on the marketing mix
Difference between types of e-commerce:
Business to business (B2B)
Business to consumer (B2C)
Consumer to consumer (C2C)
Costs and benefits of e-commerce to firms and consumers
23
Unit 5: Operations Management
24
Command Terms
Assessment objective Key command term Depth
AO1 Define These terms require students to learn and
Demonstrate knowledge and Describe comprehend the meaning of information.
understanding Outline
State
AO2 Analyze These terms require students to use their
Demonstrate application and analysis of Apply knowledge and skills to break down ideas into
knowledge and understanding Comment simpler parts and to see how the parts relate.
Demonstrate
Distinguish
Explain
Interpret
Suggest
AO3 Compare These terms require students to rearrange
Demonstrate synthesis Compare and contrast component ideas into a new whole and make
Contrast judgments based on evidence or a set of criteria.
Discuss
Evaluate
Examine
Justify
Recommend
To what extent
AO4 Annotate These terms require students to demonstrate the
Demonstrate a variety of appropriate Calculate selection and use of subject-specific skills and
skills Complete techniques.
Construct
Determine
Draw
Indentify
Label
Plot
Prepare
25
Glossary of terms
Command Assessment Definition
term level
Analyze AO2 Break down in order to bring out the essential elements or structure.
Annotate AO4 Add brief notes to a diagram or graph.
Apply AO2 Use an idea, equation, principle, theory or law in relation to a given problem or issue.
Calculate AO4 Obtain a numerical answer showing the relevant stages in the working.
Comment AO2 Give a judgment based on a given statement or result of a calculation.
Compare AO3 Give an account of the similarities between two (or more) items or situations, referring
to both (all) of them throughout.
Compare and AO3 Give an account of similarities and differences between two (or more) items or
contrast situations, referring to both (all) of them throughout.
Complete AO4 Add missing information/date.
Construct AO4 Display information in a diagrammatic or logical form.
Contrast AO3 Give an account of the differences between two (or more) items or situations, referring
to both (all) of them throughout.
Define AO1 Give the precise meaning of a word, phrase, concept or physical quantity.
Demonstrate AO2 Make clear by reasoning or evidence, illustrating with examples or practical application.
Describe AO1 Give a detailed account.
Determine AO4 Obtain the only possible answer.
Discuss AO3 Offer a considered and balanced review that includes a range of arguments, factors, or
hypotheses. Opinions or conclusions should be presented clearly and supported by
appropriate evidence.
Distinguish AO2 Make clear the differences between two or more concepts or items.
Draw AO4 Represent by means of a labelled, accurate diagram or graph using a pencil. A ruler
should be used for straight lines. Diagrams should be drawn to scale and points plotted
and joined in a straight line or smooth curve.
Evaluate AO3 Make an appraisal by weighing up the strengths and limitations.
Examine AO3 Consider an argument or concept in a way that uncovers the assumptions and
interrelationships of the issue.
Explain AO2 Give a detailed account including reasons or causes.
Identify AO4 Provide an answer from a number of possibilities.
Interpret AO2 Use knowledge and understanding to recognize trends and draw conclusions from given
information.
Justify AO3 Give valid reasons or evidence to support an answer or conclusion.
Label AO4 Add labels to a diagram.
Outline AO1 Give a brief account or summary.
Recommend AO3 Present an advisable course of action with appropriate supporting evidence/reason in
relation to a given situation, problem or issue.
Plot AO4 Mark the position of points on a diagram.
Prepare AO4 Put given date or information from a stimulus/source into a suitable format.
State AO1 Give a specific name, value or other brief answer without explanation or calculation.
Suggest AO2 Propose a solution, hypothesis or possible answer.
To what extent AO3 Consider the merits or otherwise of an argument or concept. Opinions and conclusions
should be presented clearly and supported with appropriate evidence and sound
argument.
26
Assessment Outline SL
Written commentary based on three to five supporting documents about a real issue or problem
facing a particular organization (Maximum 1500 words) ( 25 marks)
27
IA SL GUIDE
The internal assessment, or written commentary, will count for 25% of both your IB score and class grade. Students
need to demonstrate the application of business and management tools, techniques and theories to a real business
issue or problem. Students must select a real issue or problem, not a fictional one, and must produce a commentary
with a title presented as a question. The commentary must refer directly to a single business organization, but may
consider industry-wide issues that impact the organization. The commentary must be based on primary and/or
secondary data, selected for its suitability, depth, and breadth.
The written commentary weights 25% of your IB score and class grade.
Approximately 15 hours should be allocated to written commentary
Demonstrate application of business and management tools, techniques and theories to a real (not fictional)
business issue or problem.
Title presented as a question – commentary will answer question.
Refer directly to a single business organization
Commentary based on secondary research, selected for suitability. Primary research can be used as support.
Page #’s
1500 words maximum
Must provide two hard copies
Should include tables and/or graphs
Must attach three to five supporting documents to commentary, from which the majority of the information has
been obtained. Additional sources must be referenced but not accepted as supporting document. Students
should label the supporting documents clearly, such as “Supporting Document 1”, etc.
Students must highlight the parts of each supporting document that relate directly to their commentary.
Must produce a bibliography, with in text citations in MLA format. All sources of information must be
provided.
Based on primary and or secondary data written within last 2 years.
Your question doesn’t have to be forward thinking,
28
Concept Testing
After your teacher has introduced the coursework then you need to think about a suitable topic. You will log your
concept ideas in the Brainstorming section.
It is not possible to score highly on criteria ‘A’ unless the supporting documents provide a range of views, are linked to
your question, and show some depth of understanding.
You will need to answer a question (the title of the commentary), so make sure your title is phrased in such a way that it
allows you to answer it AND to back that answer up.
29
Research/Data
The SL IA is a commentary based on research. You should have an array of sources in front of you and then you use
these sources to answer a question. Your IA is based primarily on secondary research, however primary research will
help support your recommendation and if done correctly help you receive the highest mark. In order to receive full
marks on sources, you must have a minimum of 3 sources and they need to provide a range of views. Therefore, DO
NOT have all of your sources from within the business you are researching. Look at industry trends, competition, and
analyst predictions.
Your supporting documents have to be up to date. They have to be written within three years of submission date.
For example, IA’s due in March 2018 must have been published after March 2015.
Use of data
Your data has to be useful, that is it must be linked to a particular business technique from the course content. There is
no point in collecting company accounts unless you will use them appropriately. In fact you will lose marks if you include
unnecessary or irrelevant data.
The first thing then is refer back to your theoretical framework and decide how to apply the data you will collect to your
chosen theories. Here are some of the possible business techniques used in the past.
You could also be accused of plagiarism if you do not source all the data. Students can lose their IB Diploma if they
don’t source correctly because it is academic dishonesty.
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Referencing the data
The Works Cited: this is a list of all the sources you have used in your report. They should be referenced in MLA
format, with in text citations. This list does not have to be extensive- in fact much better than a long list meant
to impress. You should have at least five sources though to receive the highest mark. Do not include sources
that may have helped you but that you didn’t use.
The Appendix- The appendices is where your photocopy and highlight your supporting documents. Please label
the supporting documents numerically. You might also add material that would otherwise destroy the flow of
your argument (PEST, SWOT, sample questionnaires or company accounts). IB is not impressed with students
who try and beat the word limit by dumping huge tracts of materials in the appendices.
I expect your Works Cited to be in MLA format and I STRONGLY suggest that you manage your citations in Word and
organize and insert as you work.
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Writing the First Draft
Although there is no mandatory format for the written commentary, the following is a suggested format that might help
students organize their work.
Once you have outlined your conflict (phrased as a question) and your background information, data and solution, you
can outline the section of your paper. It is recommended that you write your commentary in the form of a Business
Plan. This proves your understanding of the content, is an easy to read, succinct and organized way to process your
solution. The following sections are recommended for your paper. Based on your business and scenario, you may also
choose to incorporate other sections.
1. Title page
Formed as a question, includes name, Candidate number and Word Count
2. Contents Page
Major headings in the report, beginning with the executive summary. Page numbers should be clearly
indicated.
3. Executive Summary (write last)
Provides a review of the document as a whole, outlining conclusions drawn and recommendations
made. Together with the title, the executive summary should provide a clear overview of the document.
Is included in word count.
4. Company Description
This portion of your commentary will vary based on your company and conflict. You might choose to
address a handful of the following portions of a traditional plan. You should be providing background
information, details of the company, leading up to the conflict you are addressing. Should be citing
specific data and research found in your appendix.
Product/service
Industrial overview
Management/ leadership
Operations
Marketing Mix analysis
Finances
SWOT (here or below)
5. Situational Analysis or Findings (challenge)
Gives big picture implications and details of the business’ problem/conflict at hand. Presents the conflict and
consequences. Include data and support and your citations. This involves interpreting the results and findings
clearly and succinctly. Candidates should identify the main issues emerging from the research and explain their
significance. The discussion should be sequenced and coherent. It should be carefully referenced. The purpose
is to clarify what the raw data has revealed. This should include a summary of the data collected and findings,
and should, where appropriate, be supported by tables, graphs and statistics.
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6. Strategic Plan or Analysis (Recommendation)
The conclusions must follow from the analysis and discussion. This is not the place to introduce new facts or
arguments. Conclusions are normally presented as a list of fairly brief statements. Recommendations should be
precise and there should be practical proposals for action that stem from the conclusions. If the results of the
research are inconclusive the candidate should recommend further research to be undertaken.
7. Conclusion
Summarize your business, issues and resolution, briefly, wrapping it all up.
9. Appendices These should include only relevant information that supports or emphasize what is discussed in
the report. They will include examples of photographs, documents, questionnaires, numerical raw data in
tables and statistical calculations. You need to highlight information that you have used directly in your
commentary.
Challenged Areas
Those students who complete a rough draft and get teacher feedback always perform better, as they receive a range of
opinions and viewpoints.
Review the final grading rubrics to see how much weight is given to your references and data. If you can fulfill these
requirements then your paper will automatically represent a range of opinions and ideas. Use the data to add depth
and detail to your commentary.
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Brainstorming
Potential Written Commentary Related Business theory/practice Potential Resources
Topics – Make the ? Later to address
Timeline
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Criteria
A Supporting documents
If fewer than three supporting documents are presented, a maximum of three marks can be awarded.
Achievement Descriptor
level
0 The work does not reach a standard described by the descriptors below.
1 There are only one or two, or more than five, supporting documents, or they are of marginal relevance.
2 The supporting documents are generally relevant but some lack depth, or they were published more than three years prior to
the submission of the IA to the IB, or they are not all translated in the language of submission.
4 The supporting documents are relevant, sufficient in depth and provide a range of ideas and views.
0 The work does not reach a standard described by the descriptors below.
1 There is a limited selection of business management tools, techniques and theory, and these are not applied.
2 There is a limited selection of business management tools, techniques and theory, and these are superficially applied.
3 There is an appropriate selection of business tools, techniques and theory, but these are superficially applied.
4 There is appropriate selection of business management tools, techniques and theory, and these are suitably applied.
5 There is appropriate selection of business management tools, techniques and theory, and these are skillfully applied.
0 The work does not reach a standard described by the descriptors below.
1 There is a limited selection of data from the supporting documents but no analysis.
2 There is a limited selection of data from the supporting documents with superficial analysis.
3 There is an appropriate selection of data from the supporting documents with satisfactory analysis.
4 There is an appropriate selection of data from the supporting documents with good analysis and some integration of ideas.
5 There is an appropriate selection of data from the supporting documents with skillful analysis and a coherent integration of
ideas.
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D Conclusions
Achievement Descriptor
level
0 The work does not reach a standard described by the descriptors below.
1 Conclusions are inconsistent with the evidence presented, or conclusions are superficial.
3 Conclusions are consistent with the evidence presented and explicitly answer the commentary question.
E Evaluation
Achievement Descriptor
level
0 The work does not reach a standard described by the descriptors below.
F Structure
Achievement Descriptor
level
0 The work does not reach a standard described by the descriptors below.
1 Limited structure.
2 Appropriate structure.
G Presentation
Achievement Descriptor
level
0 The work does not reach a standard described by the descriptors below.
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Current Event
Summary Sheet
Related Business:
News source:
Article Title:
Author:
Date:
4. Specific tools/theories:
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7. Evaluate the affect this will have on this sector/business in the near future (balanced argument).
.
1.
2.
3.
4.
5.
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Partner Case Study Rubric
Names __________________________
Case Study Used up-to-date and Fulfils assignment. Out of date, unreliable or
Source/Research professional resources. Current article. Uses unsighted source. Does not
Written and published appropriate sources meet assignment
by reputable sources. and is objective. requirements, is not current or
objective.
Relevance to Completely accurate; Mostly accurate; a few Somewhat accurate; more than
Content all facts were precise inconsistencies or a few inconsistencies or errors
and explicit and relate errors in information. in information or incomplete.
to current content. Relates somewhat to Does not relate to current
current content. content.
Assessment Identifies not only the Identifies the main Does not identify and
Questions basics of the issue, but problem and summarize the problem, is
recognizes nuances of subsidiary, embedded confused or identifies a
the issue. or implicit aspects of different or inappropriate
the problem. problem.
Observes cause and
effect and addresses Examines the
existing or potential evidence and source
consequences. Clearly of evidence, questions Merely repeats information
distinguishes between its accuracy, precision, provided, taking it as truth or
fact, opinion, and relevance and denies evidence without
acknowledges value completeness. adequate justification.
judgments.
Group Facilitation Excellent listening and Students show Some ability to interact;
leadership skills adeptness in attentive listening; some
exhibited; students interacting; lively evidence of discussion or
reflect awareness of discussion focuses on alternatives.
others’ views and the task.
opinions in their
discussions. Provide
feedback and
contribute to
conversation.
NOTES:
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