Identify and explain one advantage and one disadvantage to ACE of all of its employees being members of a trade union.

Mark scheme

Marking points from the official mark scheme (Oct/Nov 2014). The mark or mark type is shown in brackets.

1. [8] (a) Content: Advantage: Easier to negotiate with employees; Negotiation over wages takes less time. Disadvantage: Strength in numbers may lead to more disputes; Easier to organise industrial action; Industrial action may lead to a poor reputation for the business; Higher costs if wages increase. N.B. these must be advantages/disadvantages to the business and NOT to just employees. The marks available for this question are as follows: 2 marks for knowledge; 4 marks for analysis and 2 marks for application. 1 mark for each advantage/disadvantage identified plus 2 explanation marks and 1 application mark. (4 marks × advantage/disadvantage) Advantage: Easier to negotiate with employees (1 mark for knowledge). Explanation: Easier to negotiate with employees (1) because all the 200 production workers are in a trade union and so there is only one representative to negotiate with (2). This will take less time for ACE to negotiate wage rates as otherwise it might need to discuss pay with many of the 200 production workers (3). Application: Plus 1 application mark because the answer refers to the 200 production workers. Possible application marks: ovens; 200 production workers; 50 office workers; want to be efficient to remain competitive; export products to different countries; sales revenue increasing; profit increasing; poor motivation; high proportion of workers leave each year; autocratic leadership style; HR department. There may be other examples in context which have not been included here.
2. [12] (b) Content: Democratic; Autocratic; Laissez-faire. Level 1: 1 mark for each statement, e.g. the managers could use a democratic management style. (1 mark) Level 2: 5 marks for the first level 2 answer and then one extra mark for each additional level 2 answer up to maximum of 8 marks, e.g. the managers could use a democratic management style which would make employees feel more involved in decision making and therefore increase worker motivation. Production workers who make the ovens could be asked for their views on how the ovens are manufactured, but this takes time to carry out. 5 marks for level 2 answer plus one application mark for including reference to manufacturing ovens in the answer. Level 3: Detailed discussion of at least two level 2 answers and then a recommendation at the end which justifies which management style should be used rather than the other style. Possible application marks: ovens; 200 production workers; low motivation and unhappy workers; high proportion of workers leave each year; currently using autocratic leadership style; HR department; meetings of directors to discuss managing employees; trade union membership; not follow instructions may be dismissed. There may be other examples in context which have not been included here. Application Level 3: 2 marks, Well applied to case. At least two examples of reference to, or use of, the case. Level 2: 2 marks, Well applied to case. At least two examples of reference to, or use of, the case. Level 1: 1 mark, Limited application to the case. At least one example of reference to, or use of, case. Knowledge/Analysis/ Evaluation Level 3: 9–10 marks, At least 2 x Level 2 + Well justified recommendation as to which management style should be used rather than the other styles. Level 2: 5–8 marks, Good discussion of advantages/disadvantages of each management style OR explained balanced argument. Some limited judgement shown in recommendation about which management style should be used. Level 1: 1–4 marks, Name of each management style. Outline of advantages/disadvantages of each management style.