Business Studies Multiple Choice Question – 28 May 2023

Alex Motors has a system of consultation where managers encourage employees to be involved by challenging procedures and suggesting improvements.

Consultation is most likely to lead to a long-term increase in…..?

Select ONE answer:

1. the span of control
2. labour turnover
3. employee productivity
4. supervision by managers

Show your workings to arrive at your answer, and explain and justify your reasons:

……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This multiple-choice question is suitable for Accounting KS5 classes.

The answer is 3

1. Not correct – because the span of control will be unaffected because consultation is concerned with employee views rather than the number of workers responsible to a manager.
2. Not correct – because labour turnover is likely to decrease as employees feel valued and will be less likely to leave.
3. Correct – Definition of consultation e.g. discussions with employees about working methods/non-financial technique to improve staff performance. Employees may therefore feel more motivated. This results in an increase in employee productivity because their views are listened to.
4. Not correct – because supervision is likely to be reduced because employees are more motivated to work independently.

This work is licensed under a Creative Commons Attribution 4.0 International License.