# Business Studies Grade 12 Eastern Cape Mock 2015 Memo (Eng) > Grade 12 Business Studies memorandum from the Eastern Cape Mock Exam 2015 (English), 33 pages. Read online or download the free PDF. - Page: https://www.hlayiso.com/library/bstd-gr12-memo-eng-sep2015/95807f3c-fedb-4c6a-b70a-985b099e31cd - Updated: 2026-09-27 - Subject: Business Studies - Grade: Grade 12 - Document type: Memorandum - Year: 2015 - Exam period: Eastern Cape Mock Exam - Curriculum: CAPS - Pages: 33 Breadcrumbs: [Home](https://www.hlayiso.com/) › [Library](https://www.hlayiso.com/library) › [Grade 12](https://www.hlayiso.com/library/grade-12) › [Business Studies](https://www.hlayiso.com/library/grade-12/business-studies) › [Business Studies Grade 12 Eastern Cape Mock 2015 Memo (Eng)](https://www.hlayiso.com/library/bstd-gr12-memo-eng-sep2015/95807f3c-fedb-4c6a-b70a-985b099e31cd) ## About this document Business Studies · Grade 12 · Eastern Cape Mock Exam · 2015. Memorandum, 33 pages. Read online or download the PDF. Read it free online on the page above; download the PDF from there. ## Document text Text extracted from the PDF. Layout, diagrams and tables may not survive extraction. ### Page 1 Downloaded from hlayiso.com NATIONAL SENIOR CERTIFICATE GRADE 12 SEPTEMBER 2015 BUSINESS STUDIES MEMORANDUM MARKS: 300 This memorandum consists of 32 pages. ### Page 2 Downloaded from hlayiso.com 2 BUSINESS STUDIES (EC/SEPTEMBER 2015) NOTES TO MARKERS (COMPULSORY) 1. Candidates' responses for SECTIONS B and C must be in full sentences; however this would depend on the nature of the question. 2. A comprehensive memorandum has been provided but this is by no means exhaustive. Due consideration should be given to an answer that is correct but:  Uses a different expression from that which appears in the memorandum  Comes from another source  Original  A different approach is used NOTE: SECTION A: - There are no alternative answers. - Each question has only one correct answer. 3. Take note of other relevant answers provided by candidates and allocate marks accordingly. (In cases where the answer is unclear or indicates some understanding, part-marks should be awarded, for example, one mark instead of the maximum of two marks.) 4. The word 'sub-max' is used to facilitate the allocation of marks within a question or sub-question. 5. The purpose of circling marks (guided by 'max' in the breakdown of marks) on the right-hand side is to ensure consistency and accuracy in the marking of scripts. 6. In an indirect question, the theory as well as the response must be relevant and related to the question. 7. Incorrect numbering of answers will be penalised. This is applicable to all sections of the paper with effect from November 2015. For this paper it applies to SECTIONS A and B only. 8. No additional credit must be given for repetition of facts. Indicate with an R. 9. Subtotals to questions must be written in the right-hand margin. Circle the subtotals as indicated by the allocation of marks. This must be guided by 'max' in memo. Only the total for each question should appear in the left-hand margin next to the appropriate question number. 10. Note that with effect from 2012 (final examination) no marks will be awarded for indicating Yes (√√)/No (√√) in evaluation-type questions requiring substantiation or motivation. (Applicable to SECTIONS B and C.) Copyright reserved Please turn over ### Page 3 Downloaded from hlayiso.com (EC/SEPTEMBER 2015) BUSINESS STUDIES 3 11. The difference between 'evaluate' and 'critically evaluate' can be explained as follows: (a) When 'evaluate' is used candidates are expected to respond in either a positive/negative manner or take a neutral (positive and negative) stance, e.g. Positive: 'COIDA eliminates time and costs spent √ on lengthy civil court proceedings.’ √ (b) When ‘critically evaluate’ is used candidates are expected to respond in either a positive/negative manner or take a neutral (positive and negative) stance. In this instance candidates are also expected to support their responses with more depth, e.g. 'COIDA eliminates time and costs spent √ on lengthy civil court proceedings, √ because the employer will not be liable for compensation to the employee for injuries sustained during working hours as long as it can be proved that the business was not negligent.’ √ NOTE: 1. Mark allocation should also be considered. 2. The above could apply to 'analyse' as well. SECTION B 12. 12.1 If, for example, FIVE facts are required, mark the candidate's FIRST FIVE responses and ignore the rest of the responses. Indicate by drawing a line across the unmarked portion or use the word ‘Cancel’. NOTE: This only applies to questions where the number of facts is specified. 12.2 If two facts are written in one sentence, award the candidate FULL credit. Point 12.1 above still applies. 12.3 If candidates are required to provide their own examples/views, brainstorm this at the marking centre to finalise alternative answers. 12.4 USE OF THE COGNITIVE VERB AND ALLOCATION OF MARKS 12.4.1 Where the number of facts are specified questions that require candidates to 'explain/discuss/describe' will be marked as follows: • Heading/Fact 2 marks • Explanation 1 mark (or as indicated in the memorandum). The 'heading' and 'explanation' are given separately to facilitate mark allocation. 12.4.2 If the number of facts is not specified, the candidate must be informed by the nature of the question and the maximum marks allocated. Copyright reserved Please turn over ### Page 4 Downloaded from hlayiso.com 4 BUSINESS STUDIES (EC/SEPTEMBER 2015) 12.5 ONE mark will be awarded for answers that are easy to recall, requires one-word answers or is quoted directly from scenario/case study. This applies to SECTIONS B and C in particular. SECTION C 13. 13.1 The breakdown of the mark allocation for the essays is as follows: Introduction Content Maximum: 32 Conclusion Insight 8 TOTAL 40 13.2 Insight consists of the following components: Layout/Structure Is there an introduction, body, proper : paragraphs and a conclusion?) 2 Analysis and (Learners' ability to break down the interpretation: question/interpret it correctly to show understanding of what is being asked.) 2 Synthesis: (What parts of the question would you have included in the answer? Are there decisions made from a combination of relevant points) Marks to be allocated using this guide: Mostly irrelevant facts/No relevant facts: 0 Some irrelevant facts/Some relevant facts: 1 No irrelevant facts/Only relevant facts: 2 2 Originality: (Examples, recency of information, current trends and developments.) 2 TOTAL FOR INSIGHT: 8 TOTAL MARKS FOR FACTS: 32 TOTAL MARKS FOR ESSAY (8 + 32) 40 NOTE: 1. No marks will be awarded for contents repeated from the introduction and conclusion. 2. The candidate forfeits marks for layout if the words INTRODUCTION and CONCLUSION are not stated. 3. No marks will be allocated for layout, if the headings 'Introduction, Conclusion,' etc. in 'Insight' is not supported by an explanation. 13.3 Indicate insight in the left-hand margin with a symbol e.g. ('L, A, S and/or O'). Copyright reserved Please turn over ### Page 5 Downloaded from hlayiso.com (EC/SEPTEMBER 2015) BUSINESS STUDIES 5 13.4 The components of insight are indicated at the end of the suggested answer for each question. 13.5 Mark all relevant facts until the MAXIMUM mark in a subsection has been attained. Write MAX after maximum marks have been obtained. 13.6 At the end of each essay indicate the allocation of marks for facts and marks for insight as follows: (L – Layout, A – Analysis, S – Synthesis, O – Originality) as in the table below. CONTENT MARKS Facts 32 (max.) L 2 A 2 S 2 O 2 TOTAL 40 13.7 When awarding marks for facts, take note of the sub-maxima indicated, especially if candidates do not make use of the same subheadings. Remember headings and subheadings are encouraged and contribute to insight (structuring/logical flow/sequencing) and indicate clarity of thought. (See MARKS BREAKDOWN at the end of each question.) 13.8 If the candidate identifies/interprets the question INCORRECTLY, then he/she may still obtain marks for layout. 13.9 If a different approach is used by candidates, ensure that the answers are assessed according to the mark allocation/subheadings as indicated in the memorandum. 13.10 (a) Award TWO marks for complete sentences. Award ONE mark for phrases, incomplete sentences and vague answers. (b) With effect from November 2015, the TWO marks will not necessarily appear at the end of each completed sentence. The ticks (√) will be separated and indicated next to each fact, e.g. 'Product development is a growth strategy, √ where businesses aim to introduce new products into existing markets.' √ Copyright reserved Please turn over ### Page 6 Downloaded from hlayiso.com 6 BUSINESS STUDIES (EC/SEPTEMBER 2015) SECTION A: COMPULSORY QUESTION 1 1.1 1.1.1 D √√ Attract investors 1.1.2 C √√ Compensation for Occupational Injuries and Diseases Act 1.1.3 C √√ Encourage a spirit of play and experimentation 1.1.4 B √√ Retirement annuity fund 1.1.5 D √√ Public company 1.1.6 C √√ Performance appraisal 1.1.7 B √√ R60 000. 1.1.8 C √√ Workplace forum 1.1.9 C √√ charismatic 1.1.10 C √√ an optimistic (10 x 2) (20) 1.2 1.2.1 C – √√ Code of ethics 1.2.2 G – √√ Skills Development Act 1.2.3 A – √√ Outsourcing 1.2.4 B – √√ Strike 1.2.5 D – √√ Delphi technique (5 x 2) (10) 1.3 1.3.1 Management √√ 1.3.2 macro √√ 1.3.3 Balanced Scorecard √√ 1.3.4 Staff development √√ 1.3.5 The King Code √√ (5 x 2) (10) TOTAL SECTION A: 40 Copyright reserved Please turn over ### Page 7 Downloaded from hlayiso.com (EC/SEPTEMBER 2015) BUSINESS STUDIES 7 SECTION B QUESTION 2 2.1 2.1.1 Secondary sector √√ (2) 2.1.2 Credit provider – financial institution (bank, loan shark) and retail etc., who provides credit to the customer. √√ National Credit Regulator – A body responsible for the registration of credit providers, enforcement of compliance with NCA, regulates credit market/industry. √√ (2 x 2) (4) 2.1.3 THREE challenges and identify the business environment Challenge Business environment Increase in orders √ Micro environment √√ control it – manufacture more Needs capital – get a loan √ Macro environment √√ credit providers decides – Yes or No – can’t control Interest rate increase √ Macro environment √√ part of economic environment – cannot control Candy – no experience √ Micro environment √√ internal training – can control it. Candy – treats customers Micro environment √√ internal unprofessionally √ training – can control it – teach her how to treat them Increased rates and taxes √ Macro environment √√ part of economic environment – can’t control Unique Clothing Manufacturers Market environment √√ Supplier, demand higher prices. √ No control, but influence – negotiate better prices Decrease in profits √ Micro environment √√ Owner is responsible for profits and losses (Any 3 x 3) (9) 2.1.4 Challenge of Skills Development Act for business:  The 1% is an additional cost for the business.√√  Incentives are only paid out when they employ people from designated groups. √√  It requires a large amount of paperwork, administration, cost time, effort. √√  Extra administrative staff to capture data. √√  Specialist positions must be created in the business to drive the skills development programme.√√  Application procedures can be complicated. √√  Learnerships request lots of coaching, mentoring and monitoring. √√  Many service providers that offer training are not SAQA accredited.√√  Any relevant challenge of SDA answer accepted. (Any 3 x 2) (6) Copyright reserved Please turn over ### Page 8 Downloaded from hlayiso.com 8 BUSINESS STUDIES (EC/SEPTEMBER 2015) 2.1.5 She has the right to reasons given for credit being refused.√ (1) 2.1.6 NCA protects credit provider and consumer. Do you agree? Yes (no marks allocated) CREDIT PROVIDER  Right to assess the credit worthiness of consumer, right to refuse credit. √√  Credit providers will be controlled by a regulatory body. √√  Allowed to charge interest and other fees. √√  Protects the credit provider against bad debts. √√  If customer provides false information, provider is protected. √√  The credit agreement must be in writing. √√ CONSUMER  Right to receive information free of charge. √√  Entitled to be given reasons for credit refusal. √√  Right to have a credit agreement in writing and understandable language. √√  Right not to be discriminated against by credit providers. √√  Right to receive monthly statements. √√  All costs involved must be disclosed to the consumer. √√  Lower interest rates and longer payment periods available. √√  Debt relief is available – debt counsellor to restrict their debt. √√  Personal information may not be shared with others. √√(Any 2 x 2) (4) 2.2 Different types of strategies: 2.2.1 Intensive: √ market development √ 2.2.2 Concentric: √ diversification √ 2.2.3 Backward integration √√ 2.2.4 Defensive: √ divestiture √ 2.2.5 Intensive: √ market penetration √ (5 x 2) (10) Copyright reserved Please turn over ### Page 9 Downloaded from hlayiso.com (EC/SEPTEMBER 2015) BUSINESS STUDIES 9 2.3 Impact of Consumer Protection Act on businesses Positive impact - Protects the consumers from unfair, exploitative and aggressive business and marketing activities. √√ - Promotes consumer rights and ensures that businesses do not violate these rights. √√ - Consumers are forced to make responsible and informed decisions.√√ - Educates consumers about how to participate in the goods and services market responsibly. √√ - Allows all consumers fair access to goods and services. √√ - Ensures that consumers do not buy goods of poor quality which do not meet quality standards. √√ - Any other relevant answer related to the advantages of CPA. Negative Impact - Non-compliance may result in heavy penalties. √√ - The Act encourages consumers to complain. √√ - Legal contracts must be worded in plain language and pitched at the level of the consumer who is being targeted. √√ - Consumers can take advantage of businesses. √√ - The processes and procedures required of the businesses by the Act can be expensive and time consuming. √√ - Staff need to be trained and legal experts need to be consulted, which can be expensive for smaller businesses. √√ - The provisions in the Act increase the risks for insurance companies in protecting businesses against unforeseen claims and lawsuits. √√ - Any other relevant answer related to the impact of CPA on businesses. Max. (12) 2.4 Advantages of the Employment Equity Act, 1998 (Act 55 of 1998) - Provides a framework for implementation of affirmative action. √√ - Encourage diversity and inclusivity in the workplace. √√ - Discrimination in the workplace will be eradicated. √√ - Promote equal opportunities – workplace. √√ - Prevents unfair discrimination. √√ (Any 4 x 2) (8) [60] Copyright reserved Please turn over ### Page 10 Downloaded from hlayiso.com 10 BUSINESS STUDIES (EC/SEPTEMBER 2015) QUESTION 3 3.1 3.1.1 R5 000 + R500 (R5 000 x 10%) = R5 500 √√ R5 500 + R550 (R5 500 x 10%) = R6 050 √√ R6 050 + R605 (R6 050 x 10%) = R6 655 √√ (6) NOTE: If calculations were shown correctly, but the final answer is wrong, award a maximum of FOUR marks. 3.1.2 R6 655 (answer from 3.1.1) – R5 000 √√ = R1 655 √√ (4) 3.1.3 Types of investments  Shares  Notice deposit  Investment in a business  Debentures  Retail bonds  Unit trust  Any other relevant answer related to the types of investment. (Any 2 x 2) (4) 3.2 3.2.1 Autocratic / Boss-orientated style. √√ (2) 3.2.2 Different leadership style – different challenges  Every situation is unique and a leader must adapt. √√  A good manager/ leader must learn to adapt to different management styles. √√  It depends on the nature and function of the job/business. √√  Workers have different personalities and management must approach each worker differently. √√  Any other relevant motivation regarding the use of more than one leadership style. (Max. 4) (4) 3.2.3 Situations where 3.2.1 can be applied: - Used in crisis situations, e.g. disaster relief management. √√ - Applied when implementing business policies/government legislation. √√ - Used when all the information is available to solve the problem.√√ - Used when dealing with employees who are not cooperative in the workplace. √√ - Any other relevant application of the autocratic leadership style. (Any 2 x 2) (4) 3.3 Five forces of Michael E Porter: - Supplier power (the bargaining power of suppliers) √√ - Buyer power (bargaining power of buyers) √√ - The threat of substitute products or services √√ - Rivalry amongst existing competitors√√ - Threat of new entrants √√ (5 x 2) (10) Copyright reserved Please turn over ### Page 11 Downloaded from hlayiso.com (EC/SEPTEMBER 2015) BUSINESS STUDIES 11 3.4 Forms of ownership Criteria Partnership Personal-liability Company Capacity Success factors Success factors - Expansion is possible - Directors are geared to because more partners can improve business join partnership. √√ prospects in the - When buying in bulks they market. √√ can enjoy discounts. √√ - The company is - Partners are contributing controlled by the new their skills which can lead the companies Act, it can partnership to grow. √√ attract more shareholders. √√ Failure factors Failure factors - In large partnership, the - It is expensive to run the partners may struggle to company and profits may agree on business issues.√√ not sustainable resulting - As the number of partners in liquidation. √√ increases it becomes difficult - It does not have a to control the expenses and capacity to draw on large the drawings. √√ financing sources therefore cannot grow into financially strong companies. √√ Max (2) Max. (2) Legislation Success factors Success factors - There are no legal - The rights and duties of requirements to establish or shareholders are end a partnership, but they stipulated in the may draw up the partnership Companies Act, therefore agreement or article. √√ minimising unethical and - The partnership is not a legal corrupt behaviour. √√ entity and partners therefore - Shareholders have have unlimited liability for the limited liability. √√ debts of the partnership. √√ - May obtain government - Partnership may apply for tenders, as PLC is local tenders. √√ properly registered. √√ Failure factors Failure factors - Partners are jointly and - Private companies severally liable for the debts cannot freely sell shares of the business. √√ to the public. √√ - No continuity – If one of the - Companies have to partners dies retires or comply with many legal leaves the partnership requirements when they automatically dissolves and are established. √√ new one can be formed. √√ - An audit is required only - The wrongful action of one if PLC meets the partner can has a negative requirements test as influence on the business. √√ stipulated in the Act.√√ Max. (2) Max (2) Copyright reserved Please turn over ### Page 12 Downloaded from hlayiso.com 12 BUSINESS STUDIES (EC/SEPTEMBER 2015) Management Success factors Success factors - All partners are actively - It is managed by the involved in the management board of directors elected of the partnership. √√ by the shareholders. √√ - As the partnership they are - Quick decisions can be making collective made if there is only one decisions. √√ director. √√ Failure factors Failure factors - Quick decisions cannot be - Shareholders have made as all partners should powers to decide on the be informed. √√ directors’ remuneration - Some partners may not work or compensation; as hard as others as all of directors may be them are actively involved in demotivated to work the daily running of the hard. √√ partnership. √√ - The board of directors - Too many partners in the may not have a personal partnership day to day interest in the PLC. √√ running may hamper the success of the business. √√ Max. (2) Max. (2) Max (12) 3.5 Types of non-verbal presentation  Tables √√  Diagrams √√  Graphs √√  Pie charts √√  Business reports √√  Any other relevant answer related to non-verbal presentation. (Any 4 x 2) (8) 3.6 3.6.1 Identification Secondary sector √ Reason Changing/transforming/ manufacturing of raw material into useful goods or services √ (2) 3.6.2 Identification Tertiary sector √ Reason This is rendering of service. √ (2) [60] Copyright reserved Please turn over ### Page 13 Downloaded from hlayiso.com (EC/SEPTEMBER 2015) BUSINESS STUDIES 13 QUESTION 4: BUSINESS ROLES 4.1 Dealing with difficult employees - Ask someone in authority for their input into the situation. √√ - Treat people with respect. √√ - Let the person know what your intentions and the reasons for your actions are, this will make them at ease. √√ - The approach to employees plays an important role. √√ - Be calm and in control of the situation to get the person to collaborate. √√ - Not be driven by emotions but get down to the roots of the problem or frustrations of the employee. √√ - Understand the person’s intentions and why they react in a certain way. √√ - Any relevant answer related to ways of dealing with a difficult employee. (Any 5 x 2) (10) 4.2 Triple bottom line Economic sustainability Environmental Social sustainability Economic prosperity √√ Sustainability √√ Social responsibility √√ Focus on long-term Protect the Help poor communities. profits and growth. environment, Social upliftment, Making a profit is because business development and poverty important to satisfy depends on reduction. SR is important investors. Ensure resources. If we do as the focus should also continuity of business. not take care of the be on the people in the Investors want a return – planet, there will be community, customers, dividends. Employees not future. Minimise suppliers, etc. √√ expect remuneration. √√ pollution. Protect the infrastructure.√√ (12) 4.3 Corporate social responsibility - When business voluntary take steps in uplifting the communities/take steps to improve the quality of life. - It can be defined as the way businesses manage their business processes to affect their stakeholder in a positive way. - It is the duty of businesses to contribute towards the well-being of the community. - Refers to any strategy used by a business to take responsibility for their impact on society and the environment. - It is not a single action but an approach to doing business that guides all decision making in the firm. (Any 2 x 2) (4) Corporate social investment - The money that businesses spend on the community to improve the standard of living of the community. - The aim is to contribute to sustainable economic development. - Projects are external to the business and have a strong developmental approach. - Is not linked to increasing the profits of the business. - Intended to benefit and uplift communities through social development. (Any 2 x 2) (4) Max. 4 Copyright reserved Please turn over ### Page 14 Downloaded from hlayiso.com 14 BUSINESS STUDIES (EC/SEPTEMBER 2015) 4.4 4.4.1 Workplace forum - Is to solve labour-related problems by establishing non-adversarial and co-operative relationships between all workers and the employer. - It can be established in a business with more than 100 employees. (Any 1 x1) (1) Trade Union - An employee organisation with the purpose of regulating employer-employee relations through collective bargaining. - Collective bargaining is a process where employer/employee organisations and trade unions negotiate with one another to achieve an agreement regarding conflicting needs, interests or goals. (Any 1 x 1) (1) 4.4.2 Functions of the workplace forum - Be actively involved in collective bargaining√√ on issues such as conditions of employment/remuneration.√ - Protects the employees against unfair dismissals√√ by representing employees during hearings.√ - Consults with employees and employers on all workplace√√ related issues before implementing new policies.√ - Protects the fundamental human rights of the workers in the workplace√√ by acting as a watchdog for workers’ human rights.√ - Must be consulted by the employer when decisions are taken√√ regarding issues such as restructuring at the workplace.√ - Protects employees against discrimination in the workplace√√ by ensuring equal treatment of all employees.√ - Any other relevant answer related to the functions of a workplace forum. NOTE: Mark first THREE (3) only. (Any 3 x 3) (9) 4.5 Belbin’s terms: - James plays the role of specialist, √√ which is a cerebral role. √√ - John plays the role of co-ordinator, √√ which is a people-oriented role.√√ - Suzanne plays the role of implementer, √√ which is an action-oriented role. √√ (6 x 2) (12) 4.6 Characteristics of a successful team - Commit willingly to team goals. √√ - Help co-workers to do their jobs. √√ - Provide emotional support to co-workers. √√ - Team members support one another. √√ - Team members display mutual respect and trust. √√ - Team members respect each other’s skills.√√ - Minimise negative attitudes. √√ - Possess the necessary skills to resolve problems. √√ - The team has clearly defined goals and objectives which are realistic and achievable. √√ - Any other relevant characteristics of a successful team. (4 x 2) (8) Copyright reserved Please turn over ### Page 15 Downloaded from hlayiso.com (EC/SEPTEMBER 2015) BUSINESS STUDIES 15 4.7 Dispute – A conflict of interest between the employer and members of a trade union. √√ Grievance - A conflict interest between the employer and the employee. √√ - An employee’s complaint regarding a real or imagined breach of the terms of the employment contract. √√ - Any other relevant answer differences between a dispute and grievance. (2 x 2) (4) [60] QUESTION 5: BUSINESS OPERATIONS 5.1 5.1.1 External recruitment. √√ (2)  Vacancies were advertised in the newspaper.√√  Advertising took place outside the business. √√ (Any 1 x 2) (2) 5.1.2 THREE advantages of external recruitment  Chances are better of finding suitable candidates with the right skills. √√  Prevents unhappiness between existing employees. √√  There are more candidates to choose from. √√  It supports the implementation of affirmative action and BEE plans. √√  Recruitment agencies can find candidates and this saves the business time. √√  New candidates bring new talents, ideas, insight, and experience into the business.√√ (Any 3 x 2) (6) 5.1.3 THREE possible attributes in questions during the interview  Ability to solve problems (problem-solving skills). √√  Ability to work in a team. √√  Creativity. √√  The necessary knowledge that is needed. √√  Does applicant have financial skills? √√  In-depth knowledge of a particular topic.√√  Persuasiveness and perseverance. √√ (Any 3 x 2) (6) 5.1.4 Main purpose of a job interview  To verify the information provided on the CV and the application form. √√  To meet the applicant personally and to find out more. √√  It determines the suitability of the applicant to do the job. √√  To get more information about the candidate and to evaluate the candidate. √√  To test attitude, mannerisms, personality, goals of the person. √√  It allows the candidate to ask questions about the business. √√  To evaluate the applicant’s communication skills. √√ (Any 2 x 2) (4) Copyright reserved Please turn over ### Page 16 Downloaded from hlayiso.com 16 BUSINESS STUDIES (EC/SEPTEMBER 2015) 5.1.5 FOUR clauses in the employee contract  Full name and address of the employer. √√  Name and personal information of the employee. √√  Working hours.(days and working hours) √√  Remuneration (Salary and other incentives. √√  Date of commencement of the work. √√  Rate of pay and deductions to be made. √√  Benefits such as subsidies and medical benefits. √√  Conditions for the termination of the contract.√√  Employees’ placement (place of work) and job description. √√ (Any 5 x 2) (10) 5.1.6 Two examples of voluntary deductions:  Medical aid √√  Funeral scheme √√  Provident funds √√  Payment for cellphone contracts √√  Vehicle instalments √√  Membership fees to a staff association/trade union √√  Insurance premium √√  Mortgage bond repayment√√ (Any 2 x 2) (4) 5.1.7 Job interview; unreliable assessment?  Discrimination/judging? – Applicant and interviewer have different outlooks. √√  Unfair questions – applicant may feel unease by uncomfortable questions. √√  Submit false after school qualifications and present it on the CV. √√  Candidate can present a false “picture” of himself. √√  The candidate can lie during the interview. √√  CV can hide certain information, information in CV is selective.√√  You can only disclose certain information in the interview. √√ (Any 2 x 2) (4) 5.1.8 Compulsory deduction and example:  Deductions prescribed by law to be deducted from the employees’ salaries. √√ (2) A. PAYE (tax) – pay as you earn SARS collects tax from salaries on a monthly basis. B. UIF – unemployment insurance (gross salary – 2%) Employer contributes 1% and worker contributes 1%. C. Deductions based on a court order. D. Over-payment of salaries E. Garnishee order F. Pension funds (Any 1 x 2) (2) Copyright reserved Please turn over ### Page 17 Downloaded from hlayiso.com (EC/SEPTEMBER 2015) BUSINESS STUDIES 17 5.1.9 Fringe benefits (Examples: cellphone allowance, petrol card, car allowance) No, it is a privilege and not a right. √√ OR Yes, it is a financial Manager (middle management) post – try to make the job more attractive.√√ (2) 5.2 Purpose of the Human Resources function  Appraising and managing work performance. √√  Managing employees’ careers. √√  Providing incentives and benefits to employees. √√  Establishing and maintaining employee wellness. √√  Ensuring the right staff with right skills to perform a job. √√  Is responsible for the recruitment, selection, and placement of staff in the right positions. √√  Orientation employees (induction). √√  HR ensures a happy, motivated, committed workforce. √√  A business’s people are often considered its most important asset. √√ (Any 2 x 2) (4) Explain how HR can influence the quality of performance of a business  Ensure effective recruitment and selection of new employees.  Conducting an induction programme for all new staff members to introduce them.  Using an effective placement programme to ensure workers are place in positions.  Ensuring that employment contracts are in place for all staff.  Implementing employment equity measures – no discrimination is allowed.  Ensuring that employees are appropriately and fairly remunerated.  Find suitable candidate for the right job.  Appoint people to positions where their capabilities can be used to the advantage of the business.  Test applicants – ensure they are placed in the best position.  For effective quality performance, it is necessary to do continuous training and development of the staff.  Qualified and highly stable staff leads to a low rate of staff turnover. (Any 3 x 2) (6) 5.3 Name any TWO Acts relevant to the Human Resources function and explain  Basic Conditions of Employment Act - To ensure the fair remuneration of workers – minimum wages. - To ensure fair labour practices in the workplace. - Also provide information regarding the contract of employment. - HR must follow conditions set out in the Act. - Applies to all employees/employer to improve working conditions. (Any 1 x 2) (2) Copyright reserved Please turn over ### Page 18 Downloaded from hlayiso.com 18 BUSINESS STUDIES (EC/SEPTEMBER 2015)  Labour Relations Act - Guidelines for collective bargaining, grievance procedures, strikes - Disciplinary codes and procedures. - Allow workers to belong to a trade union, access to workplace. - Regulates labour relationships between employer, employee and trade unions. (Any 1 x 2) (2)  Compensation for Occupational Injuries and Diseases Act - Provide compensation to employee for work related injuries. - Every employer must pay an annual assessment fee to the compensation fund. - All employers must be registered – injuries/diseases at work. (Any 1 x 2) (2)  Employment Equity Act - Implementation of affirmative action in the workplace. - To redress imbalances of the past. - Prevent discrimination in the workplace. - Ensures equity in the workplace. (Any 1 x 2) (2)  Skills Development Act - HR must identify the training needs of the workers. - HR must register and pay the 1% of the payroll - Ensure that quality training takes place – make use of SETAs - Ensure training by accredited service providers. (Any 1 x 2) (2)  Unemployment Insurance act - HR must register workers, working longer than 24 hours per month. - It provides short-term relief to the workers for unemployment. - HR must contribute 2% (1% employee and 1% employer) to UIF (Any1 x 2) (2) (1 heading (2) and 1 explanation (2) x 2 =) (8) [60] Copyright reserved Please turn over ### Page 19 Downloaded from hlayiso.com (EC/SEPTEMBER 2015) BUSINESS STUDIES 19 QUESTION 6: MISCELLANEOUS 6.1 Causes of conflict  Weak leadership√√  Poor communication/miss – communication√√  Social factors/Personality clashes√√  Lack of teamwork√√  Distrust√√  Scarce/Limited resources in the workplace√√  Gender bias/discrimination √√ (Any 5 x 2) (10) 6.2 6.2.1 Advantages of quality management system (Conditions that will be stipulated in the employment contract, as in the question paper)  Increased customer satisfaction. √√  Efficient use of resources and time. √√  Increased productivity through good time management and using high-quality resources. √√  Constant improvement of products and services. √√  Increased likelihood of achieving business vision and goals. √√  Increased competitiveness as high quality places products above those of competitors. √√  Improved employee skills and knowledge through constant training. √√ (Any 3 x 2) (6) 6.2.2 Principles/Elements of TQM  Continuous skills development. √√  Total client satisfaction. √√  Continuous improvements to processes and systems. √√  Adequate financing and capacity. √√  Planning, monitoring and evaluation. √√  Involvement of all and employee responsibility. √√  Quality decisions should be made based on measurements. √√  Top management should act as the main driver for TQM and create an environment that ensures its success. √√ (Any 3 x 2) (6) Copyright reserved Please turn over ### Page 20 Downloaded from hlayiso.com 20 BUSINESS STUDIES (EC/SEPTEMBER 2015) 6.3 Responsibilities of business in terms of COIDA  Records must be kept safely by the business for a period of four. √√  In the event of an injury, the Commissioner must be notified within seven days. √√  The employer is responsible for submitting a series of forms – to claim on behave of the injured. √√  Businesses make an annual payment after assessment 9calculations) of Commissioner. √√  Employer must also provide a report every year with details of employees, wages and time worked. √√  Business must register with the Commissioner of Compensation – Department of Labour. √√ (Any 3 x 2) (6) 6.4 Principles in the King Code  Sustainability √√  Independence √√  Good governance √√  Innovation √√  Board of Directors – leadership √√  Shareholder specification √√  Transparency √√  Accountability and audit conditions √√  Social transformation – requirements specified √√  Fairness √√ (Any 4 x 2) (8) 6.5 Steps in grievance procedure - Verbal complaint √ – the employee states his problem to his supervisor. √√ - Investigation √ – the supervisor listens, investigates the problem and suggests solutions.√√ - Formal written complaint √ – if the employee is not satisfied with the suggested solutions, he/she can make a formal written complaint to the next level of management.√√ - Further investigation by next level of management √ – this level investigates the problem again, suggests a solution and makes a recommendation.√√ - Resolution of the problem √ – grievance is solved and the employee is happy.√√ - If not satisfied, the employee declares a dispute√ – the matter is referred for mediation and arbitration i.e. CCMA. √√ - Any relevant answer related to steps in grievance procedures. Steps – 1 mark Explanation – 2 marks (Any 4 x 3) (12) Copyright reserved Please turn over ### Page 21 Downloaded from hlayiso.com (EC/SEPTEMBER 2015) BUSINESS STUDIES 21 6.6 Distinguish between leadership and management MANAGEMENT LEADERSHIP A person becomes a manager, because Leaders are born of his position. The process of getting things done by Inspiring or influencing people to exercising responsibility become achievers. Try to keep risks under control Guiding and leading people to become active participants. Manager has power because of the Leader has power because of position of authority given to him. his knowledge, skills. Enforce rules on subordinates Always trying to find more efficient ways of completing tasks. Management distributes tasks to others Motivate people, empower people Acts as advisors – give instructions Always on the lookout for business opportunities Ensure that tasks are completed. Leaders are activity involved in most of the projects. (Any 3x 2) (6) (Any 3 x 2) (6) (12) [60] TOTAL SECTION B: 180 Copyright reserved Please turn over ### Page 22 Downloaded from hlayiso.com 22 BUSINESS STUDIES (EC/SEPTEMBER 2015) SECTION C Mark only the first TWO (2) questions QUESTION 7 7.1 Introduction - The BBBEE Acts deals with codes of good practice and industry charters. - BBBEE aims to distribute wealth amongst all South Africans by encouraging businesses to employ black South Africans. - BBBEE is the economic empowerment of all black people including women, workers, youth people with disabilities and people living in rural areas. - Companies are ranked according to a total BEE score achieved on the seven pillars of BBBEE. - Any relevant introduction related to BBBEE. (Any 3 x 1) (3) 7.2 7.2.1 Impact of BBBEE pillars on businesses 7.2.1.1 Ownership. - Many black people cannot afford shares/contributions to partnerships. - More opportunities are created for black people to become owners. - Businesses sometimes find it difficult to find suitable black business partners. - Business should include black people in shareholding. - Any other relevant answer related to the ownership according to BBBEE. Sub max (6) 7.2.1.2 Management. - Due to shortage of skilled black managers, some businesses find it difficult to make appointments. - Blacks need to be capacitated on managerial skills. - Business must ensure black female representation in management i.e. gender equity. - Appointing black people in senior executive positions/to management. - Any other relevant answer related to the impact of management according to BBBEE. Sub max (6) 7.2.1.3 Preferential procurement - Suppliers purchasing from BBBEE compliant businesses are given preference to Government tenders. - Business may outsource their services to unreliable suppliers. - Purchasing goods and services from other businesses with a good BEE Scorecard. - Businesses may not have a choice but to use the preferred suppliers. - Any other relevant answer related to the impact of preferential procurement according to BBBEE. Sub max. (6) Copyright reserved Please turn over Text truncated here. 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