Page 329 - Business Principles and Management

C HAPTER 12 A SSESSMENT

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CHAPTER CONCEPTS

• One of the key qualities for managers at any level is effective leadership.
Leaders have excellent human relations skills. Employees are most pro-
ductive when work meets their needs as well as those of the company.
Managers must work to satisfy important needs of each employee while
also meeting the goals of the business. Four types of power available to
managers are position power, reward power, expert power, and identity
power.

• Important human relations skills are self-understanding, understanding
others, communication, team building, and developing job satisfaction.
• The general way a manager treats and supervises employees is called
leadership style. Leadership styles fall into three general categories:
autocratic, democratic, and open leadership.

• Work rules are regulations created to maintain an effective working
environment in a business. Employees must meet certain expectations
if a business is to operate effectively. Effective leaders handle many types
of work-related problems confidently. When conflicts and problems
occur, leaders work to solve them before they create larger problems.

REVIEW TERMS AND CONCEPTS

Write the letter of the term that matches each definition. Some terms will
not be used.
1. The ability to control behavior
2. The general way a manager treats and supervises employees
3. Manager who gives little or no direction to employees
a. autocratic leader
b. democratic leader 4. Power based on the ability to control rewards and punishments
c. expert power 5. Regulations created to maintain an effective working environment
d. human relations in a business
e. identity power 6. Power given to people because of their superior knowledge about
f. leader the work
g. leadership 7. Manager who understands employees and job requirements and
h. leadership style matches his or her actions and decisions to the circumstances
i. open leader 8. Manager who encourages workers to share in making decisions
j. position about their work and work-related problems
k. power 9. Manager who earns the respect and cooperation of employees to
l. reward power effectively accomplish the work of the organization
m. self-understanding 10. Getting people to believe in the goals of the company and work well
n. situational leader
o. team building together to accomplish them
p. work rules 11. How well people get along with each other when working together
12. Power given to people because others identify with and want to be
accepted by them

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