Establishment Of Goldenstate Manufacturers Business Essay


The main purpose of Goldenstate manufacturers is to take care the interest of shareholders and stakeholders. The reason for this is that for them to be able to maximize their profit.

b) Identify three (3) other types of organizations and explain how their purpose and reason for establishment might differ from Goldenstate Manufacturers. (6 marks: 1 mark for each type of organization and 1 mark for the difference 2x3)

Personal organization - This is usually own by a private person like small businesses. This is different from Goldenstate manufacturing because Goldenstate manufacturing is a big company and handle large number of staff.

Social organization - This organization usually is nonprofit organizations which helps the community through projects. This is different from goldenstate manufacturer because the goldenstate manufacturer is a profit base organization.

Economical Organization - This organization focuses on gaining profit and depends on the economy. This is different from goldenstate manufacturer because this organization base their profit on the economic status and merely not think of anything but only to gain profit.

1.2 Identify at least two (2) of the main roles/functions that need to be carried out by the following: (12 marks: 1.5 marks for each role/function)

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Mark (CEO) - Mark has to make sure that the production of product is increased or had been optimized. Also, to make sure the finished product are in good quality.

Carl (Operations Manager) - One of the role of Carl is to make sure that each department are not over-staffed or under-staffed. And also one of his function is to see to it that there is a good communication between each operation department.

Quality Control Manager - The main role of quality control is to make sure that they identify faults during the production and make sure that the goods are in good quality when delivered to the customers.

Research and Development Manager - Their roles is to find ways on how to solve the problems encountered especially in operation department and also how to develop their product for it to be more attractive to customers.


a) Explain how effective you feel Goldenstate Manufacturers is in meeting its purpose. (2 marks)

I think that when it comes to meeting the purpose of Geldenstate Manufacturers it is not that effective. Each manager has their own management style which causes conflict between each department. The CEO needs to improve or review each department on the problems that each department encounters.

b) List four (4) main management skills or competencies needed for it to be competitive. (4 marks: 1 mark for each skill/competency)

1. Technical skills

2. Human skills

3. Conceptual skills

4. Strategic thinking skills

c) Explain why you feel each of the four skills or competencies listed in 1.3(b) are important. (4 marks: 1 mark for each explanation)

1. Technical skills - this skill is important because this will increase their understanding on how to use the techniques, knowledge and tools to equipment of each department.

2. Human skills - this will help the manager to work effectively with his people or staff.

3. Conceptual skills - this is important for the CEO to develop long range plan for future and also this gives direction to the manager that the organization is a unified whole and for them to understand each department.

4. Strategic thinking skills - this skill is important because it enable the managers to plan ahead of time and predict what is going to happen with their plan.

Question 2 (Total 70 marks)


a) From any of the leadership theories you have studied on the course identify and briefly explain which theory Ron, the finishing manger most closely aligns with, giving evidence from the case study to support you comments. ( 7 marks: 2 marks for identifying the correct theory and 5 marks for explaining why Ron aligns with it using supporting information from the case study)

There are two leadership theory that Ron is closely related to, that is Trait theory and behavioural theory. But based on the case study, "Ron, the finishing manager follows the same approach ( Adam's approach) and believes in not allowing his staff to take the liberty of doing things without his knowledge." With this line on the case study, it make me decide that Ron is more on the behavioural theory side because he observe the behavior of Adam's leadership and he tries to follow Adam.

b) Identify and explain the leadership styles of Adam, the Knitting Manager and James the Dyeing Manager giving evidence from the case study to support your comments. (10 marks: 1 mark each for identifying the correct styles and four marks each for explaining them using supporting information from the case study)

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Adam, the Knitting Manager is following the Autocratic Style of leadership. Supporting document from the case study is that "Adam, the Knitting manager believes in the philosophy of "My way or no way"" . This means that he makes the decision without asking other staff opinion. James, the dyeing manager is following the Laissez faire style of leadership. Supporting document from the case study is that "Jame's does not take much notice if workers don't do their jobs. James likes to be liked by his staff and refrains from taking any actions which might upset the team." This means that he lets his staff do their jobs on their own without anyone acting as leader which means that all the staff are considered leader.

c) Comment on how appropriate you feel each of these leadership styles are in current situation - give 2 reasons for your answer to each style. ( 6 marks: 1 mark for how appropriate each style is and 1 mark for reasons 2x3).

Autocratic style of leadership is appropriate in current situation because it make sure to only create distinct professional relationship between staff and the leader, authoritarian style of leadership keeps close supervision to the staff to make sure that everything is doing well.

Democratic style of leadership can be also appropriate to current situation because it gives the staff a chance to do the decision making which promote interest from the group and motivate them to work.

Laissez-faire style of leadership may be also appropriate to current situation because it gives the staff a chance to become a leader and work independently on their own which is good if the staff are highly skilled, experienced and educated.


a) Select one motivational theory:

* Briefly describe the theory

* Using information from the case study explain to Mark how he might use the theory to motivate Carl the General Manager Operations.

(15 marks: 5 marks for the description of the theory, 10 for explanation, using information in the case study)

Goal Setting Theory of motivation - Goal setting is essentially linked to work performance. This theory states that specific and challenging goals along with appropriate feedback contribute to higher and better task performance.

In this case I will tell Mark the CEO to give advice to Carl using the goal setting theory like telling Carl to give direction to his staff about what needs to be done and how much effort need to be done for the task. This means that the staff must have willingness to work and the direction from Carl must be clear. Also the goals must be realistic and he must consider the feedback of his employees for the staff to be motivated to work.

b) Advise Adam, the Knitting Manager, of four (4) ways he might motivate his staff so they will remain with the company. Make sure you explain: What he must do and how he might do it. ( 8 marks: 4 marks for what he must do- 4 marks for how he might do it in the context of the information given in the case study)

1. Adam should develop his listening skills. Anytime that a staff want to make feedback he should listen and most probably consider that feedback but not totally follow it.

2. Adam must be clear in telling the staff the purpose of their job, and the big picture of the company goals and mission. He could call for a general meeting to all the staff members and explain to them clearly their task and they must have clear idea on the goals and mission of the company.

3. One way also for Adam to motivate his staff is to set goals and reward the staff when the goals are achieved. He can do this by setting goal like every 3 months, on the expected outcome of their production, then if the goal is achieved he could give his staff some incentives so that they will be motivated to work more which most probably not only benefit the company but also Adam's employees.

4. Also one of the most common things that happen in a company is having a problem employee. If Adam have a problem employee, he should not avoid the problem. He can do this by talking to that person and make sure that they know what they're doing is wrong. If still that employee causes problem, Adam has the power to terminate that person rather than to let that person stay in the company and demoralize other employees.

2.3 Mark the CEO has told Ron, the finishing manager that he should delegate more. You are assigned to coach Ron through the steps he must take to delegate effectively.

a) Explain to Ron three (3) benefits of delegation, using information from the case study to illustrate your comments. ( 9 marks: 1 mark for identifying each benefit, 2 marks for explanation of each benefit using information from the case study)

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1. Delegation focuses attention and increase productivity. The finishing department is the most crucial department because this is where the products are packed and delivered. It should always be accurate that all the products being delivered is in good quality. Ron must delegate task to his staff like someone must be assigned in inspecting the products, checking the quality of the product and proper packaging to avoid damage upon delivery.

2. Delegation helps manage time effectively. In the finishing department it will be a great advantage if there is no delay in the production. Not only it will increase productivity but also increase the profit of the company.

3. It gives employees more time to work on new assignments and challenges. In Ron's department it is always refreshing for the staff to have new assignment and be challenge on their work because this prevents the job from being repetitive and boring.

b) Explain to Ron the five (5) steps needed to be taken for effective delegation. Make it clear what he should do at each step and give practical examples of each step relating to Ron's job and the case study. (15 marks: 1 mark each for identifying steps and 1 mark for describing each step and 1 mark for providing practical examples at each step)

Step 1. Know what to delegate. There are some things that can be delegated and others that cannot. Ron must make sure that the job that he delegate to his staff are realistic and upon the staff capability. Example: in the finishing department he know that that person has been working in that department for a very long time and has long experience so Ron needs to put him in charged on that kind of workload.

Step 2. Be picky with who you choose. This step is very important and crucial because you are trying to put a person in that position because you know he can contribute lots of things in that area. In Ron's case he must make sure that his staffs are trustworthy and loyal, had the necessary skills, have the same work ethics with Ron and has positive performance history.

Step 3. Provide documentation and clear instructions. Make sure that the workload is clearly outlined in details and all necessary information must be provided. In the case study Ron must review the performance of his staff and he should be ready to answer any question that may arise.

Step 4. Track work and provide feedback. Ron must follow along with the work being completed to ensure it's being done correctly and to your specifications. It is important that Ron check ones in a while the performance of the work of his employees if they could really do the job or not to prevent future problems that he may encounter.

Step 5. Make it ongoing. Ron must make regular evaluation of the task that he had delegated. In this way Ron will have idea if he needs to make changes with their workload or if they can really do the job being delegated to them and also he will be able to anticipate needs and be ready to handle changes.