Essential VCE Business Management Units 3 & 4



Chapter 13 – Revision test solutions

Part A

1 1 D

2 2 A

3 3 B

4 4 C

5 5 B

Part B

1 a The eight steps of Kotter’s model are: establish a sense of urgency, assemble a group of people who will lead the organisation through the change, create a vision for the organisation, communicate the vision to all within the organisation, empower others to act and plan to achieve short term gains and celebrate these.

If A&M Corporation does not follow the processes then it is unlikely that the change process will be successful. If the change is not established then employees may go back to the way they did things in the past.

b Pressures could include: economic (such as economic activity), interest rates, world conditions, number of insurance claims, employee resistance, corporate culture and management styles within the organisation.

c Strategies to address resistance to change could include: clear communication about the actual change and the need for change, involvement of those affected by the change, clearly established goals, take time to implement the change, focus on training and development to meet the demands of the change, delegate downwards as much of the process as possible.

2 Managers and leaders would need to have a number of skills and qualities including: communication skills, visionary skills, delegation, decision-making skills.

3 Driving forces are those that push an organisation or situation in the direction of the goal or proposed change. These forces tend to initiate change and allow it to continue. Restraining forces are those that act to decrease the driving forces. Change will not be successful in organisations unless the driving forces are greater than the restraining forces. Driving forces can include factors such as employee motivation and positive communication and employee empowerment. There are a number of restraining forces including: employee resistance, apathy and hostility to change and uncertainty.

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