Explain two functions of management for Charly when she is operating her new business. Function 1: . Explanation: . . . . . Function 2: . Explanation: . . . . .

Business
IGCSE&ALevel
CAIE
Exam No:0450_m25_qp_22 Year:2025 Question No:2(a)

Answer:

Award 1 mark for each function (max 2).
Award a maximum of 3 additional marks for each explanation of the function of management - one of which must be applied to this context.

Functions might include:
- Planning - setting aims and targets for the business - will give a sense of direction with common targets to work towards
- Organising - arranges the tasks for the employees - as a manager cannot do all the tasks and will need to delegate
- Coordinating - bringing together the different departments/parts in the business - so tasks are carried out efficiently
- Commanding - instructs the employees on how to carry out their tasks gives guidance as required
- Controlling - makes sure the employees produce the expected output each week - and that all aims are achieved

For example: Planning (1) - setting aims and targets for the employees (1) so they remain efficient and produce the correct number of rugs (app). This will mean that CR will be able to meet orders and satisfy customer demand (1).

Application could include: rugs; worked for a large rug manufacturer for 10 years; luxury product; forecast demand is 20 rugs per week; 2 possible locations for the new factory; needs to produce a cash flow forecast; store inventories of raw materials / finished products; 4 or 8 employees; new factory.

Knowledge points:

2.2.1.1. Simple hierarchical structures: levels of hierarchy, span of control, chain of command e.g. tall/short
2.2.1.2. Roles and responsibilities of directors, managers, supervisors, other employees in an organisation and inter-relationships between them
2.2.2.1. Functions of management, e.g. planning, organising, coordinating, commanding and controlling
2.2.2.2. Importance of delegation; trust versus control
2.2.3.1. Features of the main leadership styles, e.g. autocratic, democratic and laissez-faire
2.2.3.2. Recommend and justify an appropriate leadership style in given circumstances
2.2.4.1. What a trade union is and the effects of employees being union members

Solution:

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