CSR / SOCIAL RESPONSIBILITY AND GOOD GOVERNANCE

1. What is the Concept of Corporate Social Responsibility (CSR)? Discuss the following:
(a) Arguments in support of CSR (b) Arguments against the practice of CSR. *

Answer: The concept of Corporate Social Responsibility (CSR) is the idea that corporations have a degree of responsibility not only for the economic
consequences of their activities, but also for the social and environmental implications.

Arguments in support of CSR Arguments against the practice of CSR

Public Image: Socially responsible firms gain more customers and
employees feel proud to work for such organizations.
Handling the Government Regulations with Ease: Government
seeks to regulate business in public interest. Before government
stretches its long arms, businesspersons should discharge their
obligations to society.
Business Is Resourceful: With a pool of resources, such as capital,
labor and expertise, business is in a better position to tackle social
problems and work for social goals.
Profit Maximization is the Ultimate Goal: Business units are accused of
having profit maximization as their goal. Since business operates in a world
of poverty and hunger, the economic efficiency of business is a matter of
priority and should be the sole mission of business.
Lack of social skills: Managers are here to solve economic problems and
they do not possess knowledge or skills to provide the right solutions for
social problems.
Social Overhead Costs: Costs on social responsibility is considered a
social cost, which will not immediately benefit the business. Why spend
money on an object, the benefits of which will be relished only in the future.

2. Draw & discuss the Pyramid of Social Responsibility model developed

by Archie B. Carroll. Which among the 4 is the most important
responsibility of the business? Why?

Answer: The economic responsibilities of a company is the most important

one because it’s about producing goods and services that society needs and
to make a profit on them. It’s also the only way for a business to survive and
support society in the long term.

3. Discuss the morality of Profit-Motive among businessmen. Describe the positive and negative implications of Profit-Motive. *
Answer: Profit motive is a financial term that describes the desire to make money through action. It is moral that the provider has the profit motive as
long as the provider charges no more or no less than the fair trade value based upon the norms of the community. It is actually immoral for the provider
to charge too little for the goods and services as this would disrupt the fair exchange, making the clients too powerful, devaluing the business community
as a whole.

The Good Sides of Profit-Motive The Bad Sides of Profit-Motive

1. Profit motive motivates people to do something meaningful. It
gives human life a goal to pursue and something to live for.
2. Profit-motive makes people productive. Because of their desire for
money, businessmen have become productive and some of their
products have been useful and have enhanced human life.
1. Profit-motive promotes rivalry among competitors. Sometimes the
competition becomes stiff that it results where sources is achieved by
competing w/ others & pushing them down in order that one’s own
business might succeed.
2. Profit-motive promotes self-interest rather than the common good.
The profit-motive to some extent benefited some businessmen but it
has also created some social costs that many people, if not the
majority have to bear.

4. Competition is healthy and can be a motivation for firms to produce better

products and better services but sometimes it becomes unhealthy. Differentiate
between Fair and Unfair Competition. Explain how it can affect other companies
and the consumers. *

Answer: Fair competition refers to a free market in which all the players operate on a level
playing field. Businesses base their competitive practices on price, quality and customer
service rather than, for example, predatory pricing. Unfair competition is conduct by a
market participant which gains or seeks to gain an advantage over its rivals through
misleading, deceptive, dishonest, fraudulent, coercive or unconscionable conduct in trade
or commerce.

5. Discuss the following Normative Ethical Theories commonly used in business decision
making: (a) Machiavellian Principle (b) Utilitarianism (c) Moral Positivism.

Answer: Machiavellianism is the use of the general principle of 'the ends justifying the means'. This means the Machiavellian person considers their
goals to be of prime importance and that any method may be used to achieve them. Machiavellianism is a personality trait involving a cold, calculating
view toward others, and the use of manipulation and deceit to achieve one's goals. Utilitarianism is a theory of morality that advocates actions that foster
happiness or pleasure and oppose actions that cause unhappiness or harm. When directed toward making social, economic, or political decisions, a
utilitarian philosophy would aim for the betterment of society as a whole. Positivism is a method and theory of knowledge and truth that
prioritizes evidence, as opposed to intuition, religion, or other kinds of abstract concepts of authority. This approach to philosophy is most associated
with the enlightenment, when a cultural shift towards scientific and evidence-based knowledge occurred.
EXECUTIVE DEVELOPMENT
1. What is Executive Development and its importance?
Answer: Executive Development is a way to help develop performance and skills in executive employees. Typically, an
executive development program will focus on developing leadership skills specifically. The aim of development is not just
to improve current job performance of managers but to prepare them for future challenging roles.
2. What makes a Good Leader? Does gender matter? Discuss your stand.
Answer: A good leader takes the lead. A good leader has personality, courage, clear vision with ambition to succeed.
A good leader encourages the team to perform to their optimum all the time and drives organizational success.
Equal representation of women in leadership is important. When we empower women as leaders and decision-makers, the
community and economy benefit. From the workplace to popular culture, having more women in positions of power
promotes gender equality.
3. Discuss the Dark Side of Leadership. How can you overcome such dark side of leadership to become an effective
leader?
Answer: The dark side of leadership is defined as an ongoing pattern of behavior exhibited by a leader that results in overall
negative organizational outcomes based on the interactions between the leader, follower, and the environment.
To overcome the dark side of leadership, we need to stop accepting it or being indifferent to it as a society.
The dark leadership that we see in our business and political leaders should be addressed and talked about. Once we have
an understanding of dark leadership and an acceptance that everyone has the potential to be a dark leader, then we can
begin working with leaders to help them increase their self-awareness and keep their dark sides in check.
4. Explain the concepts of Quality and Performance Excellence. *
Answer: Quality is a word that is used synonymously with an organization's mission—to provide superior quality to
customers and stakeholders. It is also a word used to describe many methods to improve business performance.
Organizations that attain superior results by designing, controlling, and continuously improving the quality of their goods
and services are often called world-class. They have achieved a state of performance excellence. Organizations that have
attained a state of superior quality are well respected by customers because their products and services exceed customers'
expectations, which leads to sustainable business results. This pursuit of excellence through quality management methods
creates greater customer, stakeholder, and employee satisfaction, which enables the organization to sustain performance
over a longer term.
5. Discuss the key differences between “traditional” management practices and those in a TQ environment.
Answer: Traditional quality management emphasizes the achievement of short-term objectives, such as the number of
products produced or profits earned in a quarter. Total quality management looks at long-term improvements in how a
product is produced and the sustained satisfaction of customers.
MANAGERIAL ACCOUNTING
1. Define and explain the difference between financial accounting against managerial accounting.
Answer: Financial accounting is the practice of accounting for all money going in and out of an organization. It involves
recording, classifying, summarizing, and analyzing all financial transactions. Managerial accounting is the practice of
analyzing and communicating financial data to managers, who use the information to make business decisions. The
difference between financial and managerial accounting is that financial accounting is the collection of accounting data to
create financial statements, while managerial accounting is the internal processing used to account for business
transactions. Managerial accounting focuses on an organization's internal financial processes, while financial accounting
focuses on an organization's external financial processes.

2. Explain what is meant by “make-or-buy decision” its mechanics and give examples.
Answer: Make-or-Buy decision is a judgment made by management whether to make a component internally or buy it
from the market. The make-or-buy decision compares the costs and benefits that accrue by producing a good or service
internally against the costs and benefits that result from subcontracting. As an example, managers must incorporate in-
house production costs when considering in-house production which includes all the transaction costs involved in creating
the product or service. It can also include extra labor needed for production, monitoring costs, storage requirements costs,
and waste product disposal costs resulting from the production process. Similarly, businesses must focus on both the
production and transaction costs when considering outsourcing from outside suppliers. For example, the product’s price,
sales tax charges, and shipping costs must be factored in. Companies must also include inventory holding costs, which
comprise warehousing and handling costs, as well as risk and ordering costs.

3. Explain what “management by exception” is. State some advantages & disadvantages & how it is to be
implemented.
Answer: Management by exception (MBE) is a practice where only significant deviations from a budget or plan are
brought to the attention of management. If a company is going to implement MBE, they need to first set up a basic
framework (such as appropriate budget to measure performance against, matrix of exception amounts and who will be
notified, and timely and accurate reporting system) that will identify items that vary from plan to plan. Some advantages
of MBE would include: The process focuses management time and attention on the most critical variances, which should
be a more efficient use of time. The process allows staff to handle daily operations per the business plan independent of
management; managers only step in when variances reach the threshold. This should give management more time for other
functions, such as strategic planning. Some disadvantages of MBE would include: The process assumes the budget is well
designed, and that there are no issues that need to be addressed if results match the budget. The process assumes staff
cannot handle variances; instead management must be brought in. The process assumes that management's attention should
be focused on 'mistakes'.

4. Explain what is financial forecasting and sources of financing?

Answer: Financial forecasting is a financial plan that estimates the projected income and projected expenses of a business.
Financial forecasts are an essential part of business planning, budgeting, operations, and funding as they simply help leaders
and outside stakeholders make better choices. The common financing sources used in developing economies can be
classified into four categories: Family and Friends, Equity Providers, Debt Providers, and Institutional Investors.
Family and Friends: This source of financing is a popular primary source for many people and small businesses.
Debt Providers: These include commercial banks, microfinance institutions (MFIs), credit unions, and leasing companies,
which bundle short-term funds and then extend them as loans or leases. Equity Providers: These include “public collective
investment vehicles” such as mutual (stock) funds. Institutional Investors: These include pension funds and insurance
companies with large amounts of cash inflows that typically need to be invested over the long-term.

5. Explain what is cost of production report and its various parts?

Answer: The cost of production report (CPR) is a document used in process costing system that summarizes information
about the flow of units and costs through the work in process account of a processing department. It is equal to the job cost
sheet prepared in a job order costing system. A cost of production report consists of the following three sections/parts:
(1) Quantity schedule section, (2) Cost per equivalent unit section, and (3) Cost reconciliation section. Quantity schedule
section summarizes the flow of physical units through the relevant processing department and shows the equivalent units
for materials and conversion costs. Cost per equivalent unit section shows how the cost per equivalent unit is computed
under weighted average method. Cost reconciliation section states the cost charged to the department that is reconciled
or accounted for.
MARKETING MANAGEMENT
1. Discuss the following Core Marketing Concepts and give example for each:
(a) Needs (b) Wants (c) Demands *
Answer: Needs are things that satisfy the basic requirement. Wants are requests directed to specific types of items.
Demands are requests for specific products that the buyer is willing to and able to pay for. In a consumer market example,
a person might have a need for reliable transportation. But they might want convenience, control and comfort and seek an
automobile of their own. They might also demand it be provided in a certain color, with a specific safety rating and inclusive
of non-standard luxury option package. All of which cost more and not everyone is willing or able to pay for.

2. Discuss The Five Stage Model of the Buying Decision Process of Consumers. *
Answer: The consumer decision-making process is the process by which consumers evaluate making a purchasing decision
that involves five stages namely; problem recognition, information search, alternatives evaluation, purchase decision and
post-purchase evaluation.

1) Problem recognition: Recognizes the need for a service or product

2) Information search: Gathers information
3) Alternatives evaluation: Weighs choices against comparable alternatives
4) Purchase decision: Makes actual purchase
5) Post-purchase evaluation: Reflects on the purchase they made

The five-stage of consumer decision-making process is a practice that all consumers go through when making a purchase
to determine what products and services will best fit their needs.

3. What are Business Markets? Discuss the 3 different buying situations that business markets face. *
Answer: A business market is a method a company uses to sell products or services to a specific group of consumers. It is
essentially a market that caters to the needs of other businesses. There are three types of business buying situations that
need to be considered. They are straight rebuy, modified rebuy, and new buy. Straight rebuy refers to a repetition or routine
in order processing and this term is used for long-term suppliers. Modified rebuy refers to a buying situation where the
buyer goes for a modification in the purchase. It could be regarding product specification improvement, reduction in prices
or a change in sales terms. Finally, a new buy is the purchase of a product (or a service) for the first time.

4. Target marketing includes these 3 activities: market segmentation, market targeting and market positioning. Discuss
each and give example. *
Answer: Target marketing is about narrowing your marketing scope to a more manageable group of people so that you
can have a better quality of interaction. One of the most effective methods of target marketing is to use the segmentation,
targeting and positioning (STP) marketing strategy. First, divide your market into segments of buyers who share certain
characteristics. The most common segmentation is dividing the market by four criteria: demographics (ages, gender, level
of education, occupations, sexuality), psychographics (personality and traits), geographics (customers' locations: urban or
rural) and behavioral characteristics (customer’s behavior towards the product). Next, in the targeting step, you analyze
the segments (size, reachability, profitability) and determine which one or ones are currently your best target audience. For
positioning, you discuss ways to reach the segments you chose, narrow those down by discussing the pros and cons of
each, and design a plan of how and where to reach each target market (creating a marketing plan).

5. Most products-life cycle are portrayed as bell-shaped. This curve is typically divided into 4 stages. Discuss each
of this 4 stages. *
Answer: A product life cycle is the length of time from a product first
being introduced to consumers until it is removed from the market. A
product’s life cycle is usually broken down into four stages;
introduction, growth, maturity, and decline. The introduction stage
involves developing a market strategy, usually through an investment
in advertising and marketing to make consumers aware of the product
and its benefits. The growth stage sees growing demand promote an
increase in production and the product becoming more widely
available. As the product life cycle reaches the mature stage, the
beginnings of market saturation will occur as the product is established
in the marketplace. The product life cycle will reach its decline stage
when competitors create new innovations that supersede the existing product and many companies will in turn begin to
move onto different ventures as they realize there is no longer any profit to be gained.
BUSINESS RESEARCH
1. What is the role of Business Research in this new normal?
Answer: As the COVID-19 outbreak continues to pose a great challenge to our global economy, the role of business
research in this new normal is more important now than ever. This pandemic affected our society that resulted to
dramatic changes in how businesses act and consumers behave. Business research during these times will serve as a
unique opportunity to study how markets are created and how they disappear within a very limited time span. It will
also explore how the current pandemic has affected several aspects of consumers’ lives, ranging from personal mobility
to retail shopping, attendance at major life events like marriage ceremonies, having children, and relocation. With the
necessary information provided by business research, it will help us how to prepare against severe economic
consequences across the globe due to the COVID-19 outbreak.

2. Differentiate “Business Research” from “Feasibility Study?”

Answer: A feasibility study is simply an assessment of the practicality of a proposed project plan or method. Feasibility
studies are pieces of research done before a main study to answer the question 'Can this study be done?'. While, business
research is a process of acquiring detailed information of all the areas of business and using such information in
maximizing the sales and profit of the business. Such a study helps companies determine which product/service is most
profitable or in demand.

3. Describe the “Business Research” processes? *

Answer: Business research process includes gathering data and using it for business decisions. Business research
process entails studying all aspects of a company, its customers and the market, then using that information to make
sound business decisions. Typically, a company will assess its own strengths and weaknesses, but place particular
emphasis on how customers view their products. When company managers study the market, they will usually take a
comprehensive look at key competitors and the industry in which they operate.

4. What are the parts of a business research proposal? Describe each.

Answer: 1. Introduction: The general field of research of w/r the researcher's area is a part or background of the research.
2. The research question: This may not be a question as such, but rather a statement of a problem to be investigated.
3. Justification for the proposed research: This is the part where the researcher needs to tell the reader that the research
can be justified with four main criteria.
4. Preliminary literature review: This is where the researcher provides more detail about what others have done in the
area and what he/she propose to do.
5. Theoretical framework: This forms the final part of the literature review section.
6. Contribution of the research: This is where the researcher's outline how his/her research will make a change to an
area of study.
7. Proposed research methodology: This section describes the methodology to be used or justifies the use over other
methodologies.
8. Research plan: This lists what will be covered in each chapter or section of the proposed thesis.
9. Research timetable: This indicates the weighting of each part of the proposed thesis in percentage terms, the topics
covered, approximate word limit and the approximate length of time it will take to complete them.
10. List of references: This is where the researcher identifies literature in the field and its corresponding authors.

5. Make a sample business research plan.

(Other answers to possible questions)

Research is a systematic process of collecting and analyzing data to find an answer to a question or a solution to a
problem, to validate or test an existing theory (David, 2002).

Business research is a field of practical study in which a company obtains data and analyzes it in order to better manage
the company. Business research can include financial data, consumer feedback, product research and competitive
analysis. Executives and managers who use business research methods are able to better understand their company, the
position it holds in the market and how to improve that position.

Once detailed information on customers and the competition has been garnered, a SWOT analysis can be used to study
the company’s strengths, weaknesses, opportunities and threats.
BUSINESS POLICY
1. Prepare at least 3 illustrative example of ethical dilemma in a business world.
Answer: Ethical dilemma is a problem in the decision-making process between two possible options, neither of which is
absolutely acceptable from an ethical perspective.
(1) HARASSMENT – The scandal United Airlines faced after security officers forcefully dragged a passenger off an
overbooked flight. While it’s perfectly legal for airlines to overbook flights and equally legal for them to request certain
passengers get off the flight, many consumers say they were disappointed with how the company handled the situation.
This ethical dilemma of how to handle a consumer who wasn't cooperating showed a lot about corporate practice for United
Airlines.
(2) DATA PRIVACY – Equifax faced a large ethical scandal when hackers stole data from more than 148 million
consumers. After the fact, the research found that the systems Equifax was using were old, and their security systems were
out-of-date and could have been updated to prevent the breach. This is an example of business ethics where small businesses
and big companies alike have a duty to ensure the following guidelines for a safe work environment and safe opportunities
for consumers.
(3) FALSE ACCOUNTING – Enron faced an ethical accounting scandal in 2001 after using “mark-to-market” accounting
to fake their profits and misused special purpose entities, or SPEs. Enron worked to make their losses seem less than they
actually were, and “cooked the books” to make their income look much higher than it was.

2. In your present employment, state at least 3 policies and make a comment/criticize and make recommendations
to improve that policy. If you’re not employed just give your own specific examples and do the same thing.
Answer: (1) Work from Home Arrangement Policy: Since the pandemic is not yet over, I would recommend this policy
to continue as this was suspended recently by our HR personnel. Health experts say that those who work from home are
far less likely to get COVID-19 than those who have to commute to their workplace. Furthermore, us employees will not
only lessen our exposure to the virus, but we can also save money from our travel expenses.
(2) Internet Allowance Policy: Presently, this is only applicable to our permanent faculty employees which I
think is quite unfair to those who are not permanent since all of our faculty are expected to be online from to time to
cater our students’ concerns. Due to the new normal and blended learning adaptation, I’d suggest that our school would
offer this to our contractual employees as well, so that they could help lessen their employees’ financial burden.
(3) Policies around training program for existing employees: Since there is a lack of policies with regards to
training existing employees at our workplace in the new normal, I would recommend our school to offer us more
opportunities to attend trainings and seminars or at least organize these type of events virtually, to enable us in gaining
more skills and knowledge where we could excel in our field of expertise.

3. Explain the nature of Environmental Scanning, SWOT analysis and Social responsibility.
Answer: Environmental scanning is the process of gathering information about events and their relationships within an
organization's internal and external environments. The basic purpose of environmental scanning is to help management
determine the future direction of the organization. A SWOT analysis is a compilation of your company's strengths,
weaknesses, opportunities and threats. The primary objective of a SWOT analysis is to help organizations develop a full
awareness of all the factors involved in making a business decision. Social responsibility means that individuals and
companies must act in the best interests of their environment and society as a whole. Social responsibility can boost
company morale, especially when a company can engage employees with its social causes.

4. You are planning to open a business here in Roxas City. (a) State what kind of business do you intend to open.
(b) What will be your VMG? (c) Present your organizational chart/set up (d) State the duties/functions of the
personnel involved (e) Formulate at least 5 policies you want to implement.
Answer: a) The kind of business that I intend to open would be a service
type, which is a book café store.
b) Vision: To be the leading book café in Roxas City
Mission: To provide an authentic, friendly, and comfortable ambience
where the customers can have an affordable modern coffee experience
while reading and shopping for books
Goals: 1. To increase sales by 20% in a year 2. To retain customer
satisfaction 3. To improve interior design & décor
d) Manager – oversees the day-to-day operations of the business.
Cashier – is responsible for processing cash, debit, credit and check transactions using a cash register or POS.
Waiter – greets customers and offers restaurant or cafe menus, answers questions about menu offerings, processes food
and drink orders, carries food and drinks from kitchen to tables, and prepares bills and process payments.
Barista – create and serve hot or cold beverages, often tailored to the customer's preferences.
 e) Workplace health and safety: For example, you might specify what employees should do in case of office emergencies
or how to handle unsafe materials.
Employee code of conduct policy: This policy might include specific rules related to substance abuse, sexual harassment,
giving gifts, dress code, confidentiality, and even the use of cell phones or social media during work hours.
Work schedule and rest period policies: Work schedules refer to the specified days and times that an employee is
expected to complete the tasks of their employment position.
Policies for Handling Customer Complaints: Summarize what an employee should do when a customer is unhappy or
unruly, and to whom they should talk first during these situations (e.g., a manager or the police).
Who to Contact for Equipment Repair: When equipment stops working, your employees need to know who they should
contact immediately (e.g., their manager, a supervisor, or your training staff).

5. Prepare a sample of strategic planning following the format below. INSTRUCTIONS: (1) in preparing this, you
can relate it to your present or previous job (2) state the name of your company and your position. (3) just have at
least 3 objectives and complete the matrix.
Answer:
(1) Present job
(2) CapSU Pontevedra – Contractual Instructor
(3) Vision: To have a stable career in the academic field
Mission: To teach and encourage my students to strive for academic excellence, at the same time gaining adequate
experience from them for my professorship journey
Objectives: *To have a master’s degree in Business Administration within two years
*To have at least two National Certificates from TESDA training programs within three years
*To have a doctoral’s degree in Business Administration within the next five years
Strengths: Fast learner, group-oriented, proficient in both English & Filipino language (both oral & written)
Weakness: Limited technical knowledge, tendency to procrastinate
Opportunities: Seminars, Webinars, & Trainings Offered
Threat: Financial Problem, Covid-19 Pandemic or other viral diseases, Natural Disasters
TRANSFORMATIONAL LEADERSHIP
1. Why are Geese considered highly of their leadership insights? Discuss 3 Leadership Lessons from Geese and how can
human apply each lesson in their leadership journey.
Answer: Geese encourage us to think not about leaders, but about leadership. They dismantle hierarchies to make each goose
responsible for contributing to the big picture. (1) As each goose flaps its wings, it creates an uplift for the birds that follow.
People who share a common direction and sense of community can get where they are going quicker and easier, because they are
traveling on the thrust of one another. (2) When a goose falls out of formation, it suddenly feels the drag and resistance of flying
alone. If we have as much sense as a goose, we stay in formation with those headed where we want to go. We are willing to
accept their help, and we give our help to others. (3) When a goose gets sick, wounded, or shot down, two geese drop out of
formation and follow it down to help or protect it. If we have as much sense as geese, we will stand by each other in difficult
times as well as when we are strong.

2. Discuss the primary characteristics, the pros and cons of the following Leadership
a. Autocratic b. Task-oriented and relationship-oriented c. Democratic d. Paternalism e. Laissez-faire
Leadership Style
a) Autocratic is characterized by
individual control over all
decisions and little input from
group members.
b) Task-oriented (focus more on
delegation and goal completion)
and relationship-oriented (seek
to build relationships with
subordinates and direct reports)
c) Democratic empowers group
members in the decision-making
process
d. Paternalism - a dominant,
assertive figure operates as the
matriarch/patriarch whom
employees must trust, obey and be
loyal to.
e. Laissez-faire have an attitude of
trust & reliance on their
employees.
Primary Characteristics
Knowledgeable, highly motivated and
task-oriented, ability to dictate work
methods and processes
(task) Time-centered & puts heavy
emphasis on structure (relation) puts
interaction & group harmony above
deadlines or efficiency, focus on
relationships
Encourage group members to share
their ideas, flexible, communicative,
team-focused
Compassion, good organizational
skills, decisiveness, influence
Little guidance from leaders, people
are expected to solve their own
problems, leaders take charge when
necessary
Styles:
Pros Cons
facilitates quick decision Hurts morale and leads to
making, offers a clear chain of resentment, ignores or impairs
command creative solutions
(task) reach more goals, meet (task) potential for low
deadlines employee morale, lack of team
(relation) positive & bonding
motivated workforce, free (relation) tasks are overlooked,
from personal issues employees take advantage of
the leader
Increased job satisfaction and slower decision process,
commitment, increased overwhelmed leaders,
innovation, less absenteeism decreased performance
High Loyalty, good behavior Staff dependence to the leader,
& work are always rewarded employee discipline in non-
traditional ways
Employee practice leadership Lowers role awareness,
and independence, boosts employees may need direction,
employee morale conflict may increase

3. Discuss Bass Model of Transformational Leadership. Explain the four aspects of Transformational Leadership,
sometimes referred to as the 4I’s.
Answer: According to Bass, transformational leadership can be defined based on the impact that it has on followers.
Transformational leaders, Bass suggested, garner trust, respect, and admiration from their followers. There are four factors to
transformational leadership, (also known as the "four I's"): idealized influence, inspirational motivation, intellectual stimulation,
and individual consideration. Idealized influence describes managers who are exemplary role models for associates.
Inspirational motivation describes managers who motivate associates to commit to the vision of the organization. Intellectual
stimulation describes managers who encourage innovation and creativity through challenging the normal beliefs or views of
a group. Individual consideration describes managers who act as coaches and advisors to the associates.

4. Explain the 4R Model of Transformational Leadership. List down and discuss it’s 4 components.
Answer: The 4R model was developed by Dr. Mark W. McCloskey to depict “the interplay of critical variables in the process
of transformational leadership.” The 4R model highlights the 4 critical variables in transformational leadership: relationships,
roles, responsibilities, and results. Relationships are the foundation of the 4R model since transformational leaders should be
engaged in collaborative relationships that are mutually beneficial to the follower and the organization, and establish trust.
Roles will be played by a transformational leader depending on the need of their followers and clients by assuming various
responsibilities accordingly. Responsibilities are the varied leadership behaviors required of a transformational leader that
help leaders serve as a personal and collective catalyst for change and development. Results are achieved when an effective,
transformational leader fosters collaborative relationships while participating in roles and implementing responsibilities.

5. Discuss the Advantages and Disadvantages of Transformational Leadership.

Answer: One advantage of transformational leadership is that it is mainly focused on doing the right thing in the right way.
Transformational leaders motivate employees to remain focused on the task at hand, while always acting in the best interests
of the company and its wider communities. Another advantage is that it encourages change since transformational leadership
allows recognition of gaps or issues in the process of a vision and enabling the team members to make adjustments accordingly.
However, the disadvantage of this type of leadership is that it tends to overlook details and prefers to focus on the bigger
picture instead. Another disadvantage is that it can lead to employee burnout as transformational leadership distributes
accountability across the group, leaving its members feeling overwhelmed or some cases, even exploited.
OPERATIONS MANAGEMENT
Operations management (OM) is the administration of business practices to create the highest level of
efficiency possible within an organization. It is concerned with converting materials and labor into goods and
services as efficiently as possible to maximize the profit of an organization.
Production and operations management involve three main types of decisions, typically made at three different
stages: (1) Production planning. The first decisions facing operations managers come at the planning
stage. At this stage, managers decide where, when, and how production will occur. They determine site
locations and obtain the necessary resources.
(2) Production control. At this stage, the decision-making process focuses on controlling quality and
costs, scheduling, and the actual day-to-day operations of running a factory or service facility.
(3) Improving production and operations. The final stage of operations management focuses on
developing more efficient methods of producing the firm’s goods or services.
Process design is the design of processes for desired physical and/or chemical transformation of materials.
Process planning is also called manufacturing planning, material processing, process engineering, and
machine routing. It is the act of preparing detailed work instructions to produce a part. It determines how the
product will be produced or service will be provided.
A production system can be defined as a transformation system in which a saleable product or service is
created by working upon a set of inputs. Inputs are usually in the form of men, machine, money, materials etc.
Job Production is the system or process which products are made to satisfy a specific order.
Batch production is the manufacture of a number of identical articles either to meet a specific order or to meet
a continuous demand.
In mass production, same type of product is manufactured to meet the continuous demand of the product.
Usually demand of the product is very high and market is going to sustain same demand for sufficiently long
time
Scheduling pertains to establishing both the timing and use of resources within an organization. Under the
operations function (both manufacturing and services), scheduling relates to use of equipment and facilities,
the scheduling of human activities, and receipt of materials.
Sequencing is concerned with determining the order in which jobs are processed.
Maintenance management is the process of overseeing maintenance resources so that the organization does
not experience downtime from broken equipment or waste money on inefficient maintenance procedures.
Quality control is concerned with the control of quality of the product during the process of production.
It aims at achieving the predetermined level of quality in a product. In other words, quality control is concerned
with controlling those negative variances which ultimately affect the excellence of a manufacturer in
producing the products.
A definition of quality assurance is the processes that ensure production quality meets the requirements of
customers.
Total Quality Management ("TQM") is a specific approach to quality assurance that aims to develop a quality
culture throughout the firm. In TQM, organizations consist of 'quality chains' in which each person or team
treats the receiver of their work as if they were an external customer and adopts a target of 'right first time' or
zero defects.
HUMAN BEHAVIOR IN ORGANIZATION
Human Behavior in Organizations is concerned with the application of organizational behavioral principles,
research methods and intervention strategies to practical problems of organizations and employees and workgroups
around the world.
The importance of studying organizational behavior. At its core, organizational behavior analyzes the effect of
social and environmental factors that affect the way employees or teams work. The way people interact,
communicate, and collaborate is key to an organization's success.
Workplace diversity is the term used for the workplace composed of employees with varying characteristics, such
as different sex, gender, race, ethnicity, sexual orientation, etc. When employees of different backgrounds, different
cultures, different nationalities, and different perspectives come together, everyone shares a slightly different
approach to the job and the problem at hand. And that’s a benefit, as far as success is concerned.
Attitude is defined as a person’s mental tendency, which is responsible for the way he thinks or feels for someone
or something. Behavior implies the actions, moves, conduct or functions or an individual or group towards other
persons. A person’s attitude is mainly based on the experiences gained by him during the course of his life and
observations. On the other hand, the behavior of a person relies on the situation. Attitude is a person’s inner
thoughts and feelings. As opposed to, behavior expresses a person’s attitude.
A job attitude is a set of evaluations of one's job that constitute one's feelings toward, beliefs about, and attachment
to one's job.
Job Satisfaction refers to how well a job provides fulfillment of a need or want, or how well it serves as a source
or means of enjoyment. It is the degree to which individuals feel positively or negatively about their jobs.
Emotion is a conscious mental reaction (such as anger or fear) subjectively experienced as strong feeling usually
directed toward a specific object and typically accompanied by physiological and behavioral changes in the body.
Emotions can be defined as intense feelings that are directed at someone or something. The six basic emotions are
1. Anger 2. Fear 3. Sadness 4. Happiness 5. Disgust and 6. Surprise
Moods are feelings that tend to be less intense than emotions and lack a contextual stimulus. The cause is often
general and unclear; last longer than emotions; more general (two main dimensions: positive and negative affect);
Personality is the sum total of ways in which an individual reacts to and interacts with others. It is important for
us to describe it in terms of the measurable traits a person exhibits, because research has shown personality tests
are useful in hiring decisions and help managers forecast who is best for a job.
Values represent basic, enduring convictions that a specific mode of conduct or end-state of existence is personally
or socially preferable to an opposite or converse mode of conduct or end-state of existence.
Perception is a process by which individuals organize and interpret their sensory impressions in order to give
meaning to their environment. However, what we perceive can be substantially different from objective reality.
Perception is very important in understanding human behavior because every person perceives the world and
approaches life problems differently.
Motivation is derived from the word “motive” which is defined as a need that requires satisfaction. These needs
could be wants or desires that are acquired through the influence of culture, society, lifestyle, etc. or generally
innate. It is an important part of human psychology. It arouses to act toward a desired goal.
Reward is a positive stimulus or incentive that can be presented in the process of reinforcing behavior.
Persuasion the use of facts, logical arguments and emotional appeals to change another person’s belief and
attitudes, usually for the purpose of changing the person’s behavior.
A group can be defined as two or more interacting and interdependent individuals who come together to achieve
particular objectives. In an organization, the groups are made on the basis of common interests, beliefs, experience
in common fields and principles, so that they can easily coordinate with each other. The two types of group are
formal (created by organization) and informal (formed by the members themselves) groups.
HUMAN RESOURCE DEVELOPMENT
Human resource development (HRD) is defined as the cultivation of an organization's employees. It entails
providing workers with skills and relevant knowledge that may help them to grow in the workplace. Human
resource development is the training and development of a company's workforce.
The aim of HRD is to improve the performance of the employees. The three main areas of human resource
development are human resource management, quality improvement and career development.
Here are three fundamental component areas of human resource development (HRD): individual development
(personal), career development (professional), and organizational development.
Individual development refers to the development of new knowledge, skills, and/or improved behaviors that
result in performance enhancement and improvement related to one's current job (training).
Career development focuses on providing the analysis necessary to identify the individual interests, values,
competencies, activities, and assignments needed to develop skills for future jobs (development).
Organizational development is directed at developing new and creative organization solutions to performance
problems by enhancing congruence among the organization's structure, culture, processes, and strategies
within the human resources domain.
Human resource planning (HRP) is the continuous process of systematic planning ahead to achieve optimum
use of an organization's most valuable asset—quality employees. Human resources planning ensures the best
fit between employees and jobs while avoiding manpower shortages or surpluses.
Staffing is the process of finding the right worker with appropriate qualifications or experience and recruiting
them to fill a job position or role.
Recruitment is the process of actively seeking out, finding and hiring candidates for a specific position or job.
The recruitment definition includes the entire hiring process, from inception to the individual recruit's
integration into the company.
Selection is the process of identifying an individual from a pool of job applicants with the requisite
qualifications and competencies to fill jobs in the organization. This is an HR process that helps differentiate
between qualified and unqualified applicants by applying various techniques.
Placement refers to the employee occupying the position or post for which the person has been selected.
Orientation is introducing the selected employee to other employees and familiarizing him with the rules and
policies of the organization.
Training and development initiatives are educational activities within an organization that are designed to
improve the job performance of an individual or group. These programs typically involve advancing a worker's
knowledge and skill sets and instilling greater motivation to enhance job performance.
The methods for selecting employees include preliminary screening, phone interviews, face-to-face
meetings, and HR functions to determine whether a candidate is indeed suitable for the job.
Performance management is an ongoing process of communication between a supervisor and an employee
that occurs throughout the year, in support of accomplishing the strategic objectives of the organization.
Examples of performance management processes or tools include performance appraisals, key performance
indicators (KPIs) and management dashboards. Essentially, performance management is what organizations
do to become more successful and stay ahead of their competitors.
A performance management system is a mechanism for tracking the performance of employees consistently
and measurably. The most common examples would be a sales quota or a competency based system. These
systems can work very well when employees know what is expected of them and are highly motivated to
achieve the standard.
FINANCIAL MANAGEMENT

Finance can also be defined as the science of money management.

Financial management is an activity of management which is concerned with the planning, procuring and
controlling of the firm's financial resources. An example of financial management is the work done by an
accounting department for a company.
Types of Financial Decisions – 4 Types: Financing Decision, Investment Decision, Dividend Decision and
Working Capital Decisions.
The financial manager's responsibilities include financial planning, investing (spending money), and financing
(raising money). Maximizing the value of the firm is the main goal of the financial manager, whose decisions
often have long-term effects.
The three areas of corporate financial management we have described— capital budgeting, capital structure,
and working capital management—are very broad categories.
The process of planning and managing a firm’s long-term investments is called capital budgeting.
A firm’s capital structure (or financial structure) is the specific mixture of long-term debt and equity the firm
uses to finance its operations.
The term working capital refers to a firm’s short-term assets, such as inventory, and its short-term liabilities,
such as money owed to suppliers. Managing the firm’s working capital is a day-to-day activity that ensures
that the firm has sufficient resources to continue its operations and avoid costly interruptions.
Financial planning is defined as the process of meeting one’s life goals through proper management of one's
finances.
Forecasting is the process of making predictions about the future course of a business or a company based on
trend analysis and past and present data.
Budget preparation is defined as a tool that serves to assist to derive expenditure projection.
Cash management needs to ensure that there is adequate cash to meet the current obligations while making
sure that there are no idle funds.
Financial statements of a company record important financial data on every aspect of a business’s activities.
The main three financial reports used, namely: Balance Sheet, Income Statement, and Cash Flow Statement.
These financial reports must be accurate and GAAP (Generally Accepted Accounting Principles) compliant,
since it would be very difficult to make good decisions based on inaccurate information.
Budgeting is the process of creating a plan to spend your money. This spending plan is called a budget.
Creating this spending plan allows you to determine in advance whether you will have enough money to do
the things you need to do or would like to do.