Page 98 - Cambridge IGCSE Business Studies

Cambridge IGCSE Business Studies Section 2 People in business

Roles, responsibilities and inter-relationships
KEY TERMS
Directors and Chief Executive Off icer
Directors: appointed or elected Directors are the most senior level of management in any limited company. Th ey
members of the Board of Directors

may be employees of the business and be responsible for a specific function, for
of a company who have the
responsibility for determining example Marketing Director or Operations Director. Some directors are elected by
and implementing the company’s the shareholders at the Annual General Meeting (AGM). The responsibilities of

policy. Some directors might also directors include:
have a management role, for
example a Marketing Director. ■ setting strategy – the long-term plans for the business
Annual General Meeting (AGM): ■ making sure that the resources are available to achieve objectives
a meeting for shareholders that ■ reviewing the performance of managers
limited companies must hold
once every year. ■ protecting the interests of shareholders and other stakeholders
■ providing leadership to ensure the success of the business.

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KEY TERMS
An Annual General Meeting (AGM)
Chief Executive Off icer (CEO):
the most senior manager Th e Chief Executive Offi cer (CEO) has overall responsibility for the day-to-day
responsible for the overall management of the business and implementing the decisions of the Board of Directors.
performance and success of a
company. Managers

Manager: an individual who is in The day-to-day running of a department is usually the responsibility of a manager.
charge of a certain group of tasks, For example, the Human Resource Manager is responsible for making decisions
or a certain area or department of about the day-to-day running of the Human Resource Department.
a business, for example Factory The main responsibilities of all departmental managers include:

Manager.
■ making sure that the decisions of the directors are carried out
■ delegating tasks to members of their department
■ taking the decisions needed to achieve departmental targets
Limited company: see ■ motivating workers in the department so that they work hard to achieve the
Chapter 4, page 48. department’s and the company’s objectives
■ solving day-to-day problems that may arise within the department.