Key term
CCEA A-Level Business 3210
Enterprise and Entrepreneurship
The Central Purpose of Business Activity
Forms of Business Ownership
Stakeholder Groups
Markets and Market Forces
Quality Management
Topic overviewWhat is quality?Total quality management, quality assurance and quality control definedThe advantages and disadvantages of TQMThe advantages and disadvantages of quality assurance and quality controlISO 9000 certification and the quality policyQuality control and quality assurance reviewedTQM, control and assurance comparedThe approaches to quality, and the case for and against TQMQuality control and quality assurance weighedISO 9000 certification, and how quality is measuredQuality as a dimension of competitiveness
Productivity and Investment
Organisational Design
Topic overviewHierarchy, span of control, chain of command and delegationCentralised, decentralised, tall, flat and matrix structuresCentralisation versus decentralisation, delayering, and the effects of designCentralisation and decentralisation weighedTall and flat structures weighedOutsourcingCentralisation, structure and outsourcing
Investing in People
Topic overviewSuccession planning, skills audits and the factors behind people investmentThe benefits and drawbacks of investing in peopleMethods of recruitment and selectionTraining and appraisal methodsOnline recruitment and selectionOnline training and appraisalInduction training: content, benefits and drawbacksOn-the-job training: methods, advantages and drawbacksOff-the-job training: methods, advantages and drawbacksContinuing professional developmentChoosing a training methodInternal and external methods of recruitmentInternal versus external recruitment weighedThe stages of selection, and the methods usedPsychometric testing: what it measures and what it missesPsychometric testingThe purpose of appraisal, and its benefits and drawbacksTechnology in the appraisal processOnline recruitment and selection technologyOnline training and appraisal technologyThe benefits and drawbacks of online HR processes
Motivation
Topic overviewTaylor's scientific management and Maslow's hierarchyHerzberg's two-factor theory, and the limits of each theoryTaylor and Maslow reviewedHerzberg's hygiene factors and motivators in detailMonetary and non-monetary methods of motivationLeadership styles, and choosing a method of motivationThe monetary methods of paymentThe monetary methods weighed, and calculating commissionJob design, empowerment, team working and flexible workingRecognition and development, and how non-monetary methods link to theory
Principles of Management and Leadership
Market Size, Share and Growth
The Degree of Competition in a Market
Market Research
The Marketing Mix
Elasticity of Demand
The Product Life Cycle
Market Planning and Strategy
E-Business and E-Commerce
Sources of Finance
Break-Even Analysis
Cash Flow
Cash Flow Forecasts
Budgeting
Financial Statements
Business Objectives
Organisational Culture
Topic overviewWhat organisational culture is, and what it influencesStrong and weak cultures, what shapes them, and their effect on performanceHandy's four types of organisational cultureHofstede's Multi-Focus Model and its six dimensionsComparing Handy and HofstedeHandy's culture types reviewedHofstede's dimensions reviewed, and the strengths of each modelThe factors that shape organisational cultureWhy culture resists change, and how it is changedMergers, crises, leadership and structure as cultural forcesSize, workforce and external pressures on cultureChanging organisational culture reviewedWhy culture is changed, and the methods usedResistance to cultural change and how it is overcomeBarriers to change, measuring success, and the pace of changeReasons for change and resistance reviewedMethods, barriers and the pace of change reviewed
Stakeholder Objectives
Topic overviewStakeholder groups and their objectivesConflicting objectives and stakeholder influenceManaging conflict, and the shareholder versus stakeholder approachStakeholder objectives reviewedWhat gives a stakeholder powerCompromise, prioritisation and corporate social responsibilityPower, legitimacy and urgencyConsultation, incentives and stakeholder mapping
Communication
Topic overviewHow technology has changed business communicationDigital channels and their drawbacksBarriers to effective communicationChoosing a communication channelThe positive and negative impacts of technologyBarriers and channel choice reviewedThe impact of technology reviewedThe types of barrier to effective communicationHow technology helps and hinders communicationPhysical, semantic, psychological and organisational barriers in detailThe drawbacks of electronic communication
Economies and Diseconomies of Scale
Topic overviewInternal and external economies of scale distinguishedThe types of internal economy of scaleDiseconomies of scale and minimum efficient scaleGrowth, competitive advantage and its problemsInternal and external economies reviewedDiseconomies and minimum efficient scale reviewedSources of economies and diseconomies, and the risks of growth
Business Strategy and Planning
Topic overviewBusiness planAnalyse the current position: SWOT analysisThe six PESTEL categoriesHow PESTEL is used, and its limitationsThe Ansoff matrix: penetration, market development and product developmentDiversification, choosing a strategy, and the limits of the matrixThe Boston matrix axes, stars and cash cowsQuestion marks, dogs, portfolio balance and the limits of the matrixPorter's generic strategies and their risksPorter reviewed, and Bowman's Strategy ClockThe Balanced Scorecard, the Triple Bottom Line and KPIsDecision trees, expected value, and their limitationsBowman's Strategy ClockKaplan and Norton's Balanced Scorecard modelElkington's Triple Bottom LineKey Performance Indicators (KPIs)
Decision Tree Analysis
Risk and Uncertainty
Topic overviewRisk, uncertainty, the risk management process and the four strategiesContingency planning: purpose, benefits and drawbacksTypes of risk, and the balance in managing themThe four risk strategies appliedThe risk management process and the sources of risk reviewedContingency planning reviewed
Company Accounts
Topic overviewCash versus profit, and how accounts are comparedReturn on capital employed, and the limits of published accountsProfitability and liquidity ratios from published accountsGearing, earnings per share, and the limits of ratio analysisCash, profit and the ratio formulas reviewedClassifying the ratios, and what published accounts cannot show
Ratio Analysis
Investment Appraisal
Topic overviewThe payback period: method, advantages and limitationsNet present value: method, advantages and limitationsQualitative factors and the cost of capitalCalculating the payback period in practiceDiscounting and net present value in practiceQualitative factors in investment decisionsPayback and net present value comparedQualitative judgement and the appraisal formulaeFinancing strategic decisions
The Macroeconomic Framework
Government Policies
Topic overviewGovernment policy objectives and the conflicts between themTypes of policy and how businesses respondDirect and indirect taxation as policy instrumentsGovernment expenditure and interest ratesThe exchange rate as a policy instrument, and the limits of policyThe effects of fiscal, monetary, exchange rate and supply-side policyEmployment, environmental and trade policy, and why the impact variesHow government policy affects a business, and the counter-strategies availableRelocation, lobbying, diversification and pricing, and choosing between them
Globalisation
Topic overviewWhat makes a business global, and the drivers of globalisationGlobal business strategies and the Bartlett and Ghoshal modelEntering global markets, and why businesses trade globallyThe opportunities and threats of globalisationGlobal marketing and the factors to considerTrade regulations and export assistanceAnalysing global business dataTransport, communication and the liberalisation of trade and capitalWhy multinationals expand, and where they locateForeign direct investment, and its effect on the host countryThe benefits and risks of FDI to the investing firm, and the global strategiesForeign direct investmentFranchising and joint ventures as entry methodsLicensing and direct investment as entry methodsReasons for trading globallyImpact of trading globallyThe opportunities of global trade, and what e-business addsThe threats of global trade, and judging whether to enter a marketStandardisation versus adaptation, and the differences that force adaptationGlobal branding, glocalisation, distribution, pricing and ethicsTariffs, quotas, embargoes, subsidies and non-tariff barriersExchange rates, customs rules, and the bodies that liberalise tradeTrade promotion organisations and export financeAnti-dumping duties, compliance costs, and judging trade supportGlobal business dataGlobalisation and global business strategiesMethods of entering global marketsWhy businesses trade globally, and the effectsGlobal marketing, and what varies between marketsTrade regulation, assistance and analysing global data
Business Ethics and Organisational Culture
Sustainability
Topic overviewSustainable business activity: what it is, and its benefits and costsWhy businesses become sustainable, and how government encourages itThe triple bottom line, and stakeholder pressure for sustainabilityThe positive and negative impacts of sustainability reviewedSustainable development, greenwashing, and judging a sustainability claim
Corporate Social Responsibility
The Influence of Stakeholder Groups
Topic overviewStakeholder groups and conflicting outcomesHow decisions affect employees and shareholdersHow decisions affect customers, suppliers and local communitiesStakeholder mapping, trade-offs and ethical considerationsPressure group tactics, and internal versus external stakeholdersStakeholder priorities and where they conflictOne decision, many stakeholdersStakeholder groups and organisational structure
Organisational Structures
Monopolies, Mergers, Takeovers and Restrictive Practices
Change Management
Topic overviewTypes of change and information as a strategic resourceLewin's force field analysisPressure groups and legislation as causes of changeMarket growth, decline, diversification and modernisationResistance to change and why it arisesKotter and Schlesinger's six strategiesChoosing a strategy, and why businesses must changeTypes of change, Lewin's model and information management reviewedCauses of change and resistance to change reviewedKotter and Schlesinger's strategies reviewed
Quality Management
- 11 subtopics
- 33 things to know
- Unit AS 1
What Quality Management covers
Quality management is examined in Unit AS 1, Introduction to Business. It covers what is quality?, total quality management, quality assurance and quality control defined, the advantages and disadvantages of TQM, the advantages and disadvantages of quality assurance and quality control, ISO 9000 certification and the quality policy, quality control and quality assurance reviewed and TQM, control and assurance compared.
Where it is assessed
Unit AS 1
Introduction to Business, written examination, 20% of A level.
Check the CCEA specification ↗The 11 subtopics
Each one has its own page.
- What is quality?Dimension of quality known as 'performance, reliability as a dimension of quality and how quality helps a business attract new customers.Open →
- Total quality management, quality assurance and quality control definedTotal Quality Management (TQM), quality Control and quality policy.Open →
- The advantages and disadvantages of TQMOne advantage of TQM relating to product outcomes and one financial disadvantage of implementing TQM.Open →
- The advantages and disadvantages of quality assurance and quality controlKey advantage of Quality Assurance compared to Quality Control, one cost-related disadvantage of Quality Assurance and one advantage of Quality Control as an approach.Open →
- ISO 9000 certification and the quality policyWhat ISO 9000 does for an organisation's image, its markets and its customer relationships, what it costs in money, paperwork and time, and what a quality policy is for.Open →
- Quality control and quality assurance reviewedQuality control as an approach to managing quality, one advantage of quality control related to customer protection and advantage of quality control regarding workforce requirements.Open →
- TQM, control and assurance comparedOrganisational culture does TQM aim to create, one disadvantage of TQM relating to workforce development and key distinction between quality control and quality assurance.Open →
- The approaches to quality, and the case for and against TQMTotal Quality Management (TQM), quality Assurance and quality policy.Open →
- Quality control and quality assurance weighedOne advantage of Quality Control relating to cost, quality Control having no prevention focus and documentation burden associated with Quality Assurance.Open →
- ISO 9000 certification, and how quality is measuredWhat ISO 9000 certification signals to customers and what it opens up, set against its cost, its documentation and its audits, and the measures a business uses to judge its own quality.Open →
- Quality as a dimension of competitivenessWhat quality means in a business context, its performance, reliability and cost-effectiveness dimensions, and how it turns into a competitive advantage.Open →
What you need to know
Answer each one before you reveal it.
Your recallNot started
Key term
Define Total Quality Management (TQM).
Key term
What is Quality Assurance?
Key term
How does Quality Control lead to waste from rejected products?
Key term
Why does ISO 9000 certification improve credibility with customers?
Key term
How can ISO 9000 certification give a business access to certain contracts?
Key term
How does Quality Control differ from Quality Assurance in terms of when faults are addressed?
Evaluation
Why is it a disadvantage that Quality Control identifies defects only after resources have been used?
Evaluation
Why are high certification costs a disadvantage of ISO 9000?
Key term
What does quality mean in a business context?
Key term
What does performance mean as a dimension of quality?
Key term
What does reliability mean as a dimension of quality?
Key term
What is total quality management, who is responsible under it, and how does control differ from assurance?
Key term
How does quality win and keep customers, what does that save, and what does poor quality cost?
Key term
What culture does TQM aim for, what does it cost, and which approach finds problems before they occur?
Key term
In a business context, what does quality refer to?
Key term
What is Total Quality Management (TQM)?
Evaluation
State one advantage of TQM relating to product outcomes.
Evaluation
What advantage does TQM offer regarding customer relationships?
Evaluation
What is a key advantage of Quality Assurance compared to Quality Control?
Evaluation
What product outcome advantage does Quality Assurance provide?
Evaluation
What market-related advantage does ISO 9000 certification provide?
Key term
What competitive benefit does ISO 9000 certification offer?
Key term
Define quality control as an approach to managing quality.
Evaluation
Identify one disadvantage of quality control relating to costs.
Key term
What type of organisational culture does TQM aim to create?
Key term
What does the dimension of quality known as 'performance' mean?
Key term
In TQM, who bears responsibility for quality?
Evaluation
State one financial disadvantage of implementing TQM.
Evaluation
State one cost-related disadvantage of Quality Assurance.
Evaluation
State one financial disadvantage of ISO 9000 certification.
Process
At what stage in production are defects identified under a quality control approach?
Evaluation
State one disadvantage of TQM relating to workforce development.
Take Quality Management further
The same content, four other ways.
Commonly confused
Pairs that lose marks when they are blurred together.
Quality control vs Quality assurance
Quality control: inspecting outputs to detect defects. Quality assurance: preventing defects during production.
Questions from this topic
Each one with the model answer underneath.
- 1
In a business context, what does quality refer to?
Model answer
How well a product or service meets customer expectations and requirements.
- 2
What does the dimension of quality known as 'performance' mean?
Model answer
How well a product or service fulfils its intended function.
- 3
Define reliability as a dimension of quality.
Model answer
The consistency with which a product or service performs over time without failure.
- 4
If a product consistently works without breaking down over several years, which dimension of quality does this demonstrate?
Model answer
Reliability.
- 5
A budget airline offers basic service but at very low prices that customers find acceptable. Which dimension of quality does this represent?
Model answer
Cost-effectiveness.
- 6
How can high quality provide a competitive advantage for a business?
Model answer
By differentiating the business from rivals in the market.
What is inside Levo
Six ways to work the same material.
Quality Management revision questions
- What does Quality Management cover in CCEA A-Level Business?
- 11 subtopics: what is quality?, total quality management, quality assurance and quality control defined, the advantages and disadvantages of tqm, the advantages and disadvantages of quality assurance and quality control, iso 9000 certification and the quality policy, quality control and quality assurance reviewed, tqm, control and assurance compared, the approaches to quality, and the case for and against tqm, quality control and quality assurance weighed, iso 9000 certification, and how quality is measured and quality as a dimension of competitiveness. Each one has its own page with questions and model answers.
- How is Quality Management organised?
- By the CCEA 3210 specification, subtopic by subtopic, so it matches the order you are taught it in.
Every question in Quality Management, on a schedule.
Attempt a question from memory, write the correct version, then attempt it again. Levo records the jump between your first attempt and your last, and brings each question back on the day you are due to forget it.
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