Questions

Provide answers to all of the questions below:

1. Outline two methods for conducting cost-benefit analysis.

Here are two methods for conducting a cost-benefit analysis (CBA):

 Net Present Value (NPV)

Calculates the present value of future cash flows minus the initial investment. NPV is a dynamic way to
measure net cost-benefit because it includes how your net cost-benefit will change over a period of
time.

 Benefit-Cost Ratio (BCR)

Represents the ratio of the benefits to the costs. BCR represents the overall relationship between costs
and benefits over a period of time.

2. List three ways that knowledge management systems can be established in an organisation.

Knowledge management can be established as a formal institutional system that helps the
organization acquire the necessary information.
It can be set up in the form of employees with easy access to information.
It can also be set up as equipment and processes that can simplify, record, and store
information.

3. Complete the table to identify and explain three types of continuous improvement systems/processes
that can be used in an organisation. The first row has been completed as an example for you to
follow.

System or Process Explanation

Continuous improvement This sets out actions to be taken into the future.
plan

Ideation and ThinkTanks Enables the discussion of important ideas in an organization

Survey and Polls Enables a company to gain employees' feedback on the

necessary changes needed in the organization.
 Monthly Training Keeps the organization updated with every new trend in the
market.

4. Complete the following table regarding creativity and innovation theories and concepts.

List one creativity and one Summarise the theory, including key concepts
innovation theory

Universe speculations Innovation refers to the ideas, concepts, or models that

ofCreativity bring new value to a product or service. It involves the
process of bringing fresh ideas to life, which may include
demonstrations, procedures, frameworks, problem-solving
solutions, or even connections.

Complex Innovation One of the most significant developmental theories, but

often misconstrued, is the notion of disruptive innovation.
This important concept was introduced by Professor Clayton
Christensen in his book "The Innovator's Dilemma". It
explains why large, well-established companies eventually
succumb to smaller ones and introduces the concept of
problematic development.

5. Discuss (in one or two paragraphs) three principles that are relevant to organisation learning. In your
answer, identify the principles and explain what each one means as an organisational learning
principle.

There are three key disciplines in organizational learning:

I .Systems thinking: involves an approach to problem-solving that looks beyond isolated events or
individual parts of a system. Instead, it considers the interrelated patterns and events that collectively
form a unified and inseparable whole.

II .Personal Mastery: is the discipline of continually clarifying and deepening an individual's personal
vision, focusing their energy, developing patience, and seeing reality objectively within the context of
the organization.

III.Mental models: The discipline of working with mental models begins with self-reflection, uncovering
one's internal perceptions of the world, examining them critically, and being open to others' influence.
This discipline also includes the ability to hold meaningful conversations that balance inquiry and
advocacy, where people can effectively communicate their own thinking and be receptive to the
perspectives of others.

6. Complete the following table regarding quality management and continuous improvement theories.
 List one quality Summarise the theory, including key concepts
management and one
continuous improvement
theory

Joseph Juran's Theory Joseph Juran's theory focused on quality management and
improving organizational performance. He believed that
quality is achieved by continuous improvement and reducing
variability in all processes. Juran is also known for his
concept of the "vital few and trivial many," which
emphasizes the need to focus on the most critical issues
affecting quality and performance. Some steps:

It is necessary to raise awareness of the potential and

requirements for change.

Goals for improvement must be established.

Six Sigma Theory Six Sigma is a methodology used by organizations to improve

their operational performance and reduce errors or defects
in processes. It involves a data-driven approach to problem-
solving, using statistical analysis to identify areas for
improvement and to measure the success of implemented
changes. Six Sigma aims to achieve a level of quality where
only 3.4 defects occur per million opportunities, which is
equivalent to a 99.99966% success rate.

7. Discuss three concepts associated with risk management. As part of your answer, provide an
example of how each concept may relate to organisational learning.

In foreign currency operations, an "open position" refers to a situation where no derivatives or
opposite transactions are used to hedge against price or interest-rate risk on any instrument, whether
short or long term.

Lenders have the responsibility to conduct risk exposure analysis and assess potential risks.

Duration is an important metric for investors to consider, as longer- duration bonds are typically riskier
and have greater price volatility compared to shorter-duration bonds.

8. Explain how to conduct a gap analysis of an organisational system.

 Identify the target area and define the objectives of the investigation.
 Prepare a summary of recommendations and a gap-closing plan.
 Define the gap and measure the magnitude of the difference.
 Analyze the current situation and compare it with the desired ideal state.
Assessment Task 1: Checklist

Student’s name:

Did the student provide a Completed

sufficient and clear answer successfully? Comments
that addresses the
suggested answer for the Yes No
following?

Question 1

Question 2

Question 3

Question 4

Question 5

Question 6

Question 7

Question 8

Task outcome:  Satisfactory  Not satisfactory

Assessor signature:

Assessor name:

Date: