Overall explanation

Below you will find how you can plan and draft the essay. Remember this is an example of one way you could approach the question. At Level 6 the questions are much more open so your response may be completely different and that's okay.

Essay Plan

Intro -- what is an ethical culture?

P1 -- create values and principles -- put into writing

P2 -- Lead by example

P3 -- Transparency, whistleblowing

P4 -- Decision making

P5 -- Laws

P6 -- having consequences for failing to follow the culture

Conclusion -- culture isn't static, Banana Ltd needs to constantly update and review

Example Essay

An ethical culture in the workplace refers to the prevailing set of values, norms, principles, and practices within an organization that prioritize and promote ethical behaviour and decision-making among employees and stakeholders. It represents the collective commitment of an organization to conduct its business in a manner that is morally responsible, socially acceptable, and legally compliant. An ethical culture sets the tone for how employees interact with each other, make decisions, and engage with customers, suppliers, and the broader community. Banana Ltd can achieve this in the following ways:

Ethical Values and Principles:An ethical culture is built on a foundation of clear and well-defined ethical values and principles. These values guide employees in their actions and decisions, helping them distinguish between right and wrong. Banana Ltd should engrain these values and principles in writing by creating a vision statement and creating a formal CSR policy detailing expected behaviour from all employees and stakeholders.

Leadership and Accountability:Ethical leaders play a crucial role in fostering an ethical culture. They set an example by consistently demonstrating ethical behaviour and holding themselves accountable for their actions. Leaders also ensure that ethical standards are consistently applied throughout the organization. Therefore the leaders of Banana Ltd should lead by example. This may be in gaining MCIPS qualifications and other certifications that prove their loyalty to ethical issues.

Transparency and Open Communication:Ethical cultures encourage open and transparent communication. Employees are encouraged to speak up about ethical concerns or violations without fear of retaliation. Transparent processes and reporting mechanisms promote accountability. Banana Ltd could implement a Whistleblowing policy for example, so that if any employee knows of areas of concern, they can escalate this to management, without fear of repercussions.

Ethical Decision-Making:Ethical decision-making is central to an ethical culture. Employees are encouraged to consider the ethical implications of their choices, even when faced with challenging decisions that may have financial or competitive implications. For example with Banana Ltd, this may be actively severing ties with suppliers who are known to employ child labour in the mining of rare metals.

Compliance with Laws and Regulations:Ethical cultures emphasize strict adherence to laws and regulations. Banana Ltd should ensure that all activities are carried out within the boundaries of legal requirements, and violations are not tolerated. For example they should ensure that their HR policies are in line with the Equalities Act. As a large organisation they should also publish a statement about removing Modern Slavery from their supply chain, as per the Modern Slavery Act.

Accountability and Consequences:There are clear consequences for unethical behaviour. Banana Ltd should ensure that accountability mechanisms are in place to address ethical violations, and individuals who breach ethical standards may face disciplinary actions. For example if a supply chain manager is caught accepting an 'acceleration payment' or ' kickback' they should be fired.

An ethical culture in the workplace is essential not only for maintaining a positive organizational reputation but also for fostering a healthy, inclusive, and socially responsible work environment. It contributes to employee morale, customer trust, and long-term business sustainability. It is important for Banana Ltd to not only implement this culture, but to maintain it and constantly review it. The area of ethics and sustainability is constantly evolving so Banana Ltd should look to reassess its policies and processes regularly, and continue to strive to achieve more.

Tutor Notes

- You may have guessed that this question was loosely based on Apple. Apple is a good example of ethics and supply chain issues and is worth looking into as it's an excellent example to bring into an essay on the subject. Here are some links:

-Apple's Supply Chain Is on a Collision Course With Climate Change (bloomberg.com)

-Apple sees bigger supply problems after strong start to year | Reuters

-Will Supply-Chain Issues Kill the Low-Cost Apple Vision Pro? (pcmag.com)

- Other areas you could have mentioned include: cultures are not static; they are constantly evolving and improving. So Banana Ltd needs to regularly assess and refine their ethical practices to stay aligned with changing societal norms and expectations (I.e. what is ethically acceptable one day, may not be the next). You could have also talked about Banana Ltd's responsibility to the environment and local communities (particularly concerning the mining of metals). Mining is a really bad industry for Child Labour.

Overall explanation

Below you will find how you can plan and draft the essay. Remember this is an example of one way you could approach the question. At Level 6 the questions are much more open so your response may be completely different and that's okay.

Essay Plan

Introduction -- modern slavery is an issue due to complex international supply chains

P1 -- risk -- subcontracting or outsourcing

P2 -- risk -- lack of visibility

P3 - risk - other countries not having strong laws against it

P4 -- mitigate -- supplier due diligence

P5 -- mitigate -- traceability e.g. blockchain

P6 -- mitigate -- training

P7 -- mitigate -- collaboration and reporting

P8 -- example -- DJ Houghton

Conclusion -- modern slavery is risk legally and ethically and also to business reputation

Example Essay

Modern slavery, a grave violation of human rights, poses a significant risk to supply chains across the globe. As organizations increasingly rely on complex and globalized supply networks, the risk of unwittingly engaging with suppliers that exploit forced labour and human trafficking becomes ever more concerning. This essay explores the risks associated with modern slavery in the supply chain and suggests possible mitigation strategies for supply chain managers. To illustrate the real-world implications of these risks, I will reference the legal case of Antuzis & Ors v DJ Houghton Ltd.

Modern slavery, which includes practices like forced labour and human trafficking, can infiltrate supply chains in various ways. One significant entry point is through subcontracting and outsourcing. As supply chains become increasingly complex, organizations often rely on subcontractors and suppliers further down the chain. Unfortunately, these lower-tier suppliers may engage in exploitative labour practices to cut costs, which can go unnoticed by the primary organization.

Moreover, the lack of transparency within supply chains poses a considerable risk. Limited visibility into sub-tier suppliers and subcontractors makes it challenging to assess their labour practices. This lack of transparency creates opportunities for modern slavery to thrive undetected, posing a significant risk to organizations and their stakeholders.

Additionally, globalization plays a role in the risk equation. Sourcing materials and products internationally increases the risk of encountering suppliers operating in regions with weaker labour protections and lax enforcement of anti-slavery laws. This is particularly true in countries with less stringent child working laws such as in South East Asia.

Supply chain managers play a crucial role in identifying and mitigating the risk of modern slavery in the supply chain. Several strategies can be employed to address this risk effectively:

Firstly, comprehensive supplier due diligence is paramount. This involves conducting thorough assessments of suppliers, including lower-tier suppliers, to evaluate their labour practices, compliance with anti-slavery laws, and adherence to ethical standards. It also entails implementing regular audits and inspections of suppliers to ensure compliance with labour laws and ethical standards. An organisation can employ a third party to conduct these audits, to ensure that the results are authentic.

Secondly, establishing transparency and traceability within the supply chain is essential. This can be achieved by meticulously mapping the supply chain, identifying potential risks, and ensuring visibility into lower-tier suppliers. Modern technology, such as blockchain and supply chain management software, can be instrumental in tracking and tracing the origins of products and materials.

Thirdly, organizations should develop and communicate a robust supplier code of conduct that explicitly prohibits modern slavery and outlines the consequences for non-compliance. Encouraging suppliers to adopt similar codes of conduct within their own operations can help create a network of ethical supply chain partners.

Moreover, regular risk assessments and impact analyses are critical. These assessments should consider geographical, industry-specific, and supplier-specific factors and help organizations understand the potential consequences of modern slavery-related risks on their reputation and bottom line.

Training and education are also essential components of mitigation strategies. Employees and suppliers should be educated on identifying and reporting instances of modern slavery, and awareness should be raised about the legal and ethical obligations surrounding this issue.

Lastly, collaboration and reporting are crucial. Organizations should collaborate with industry associations, NGOs, and government bodies to share best practices and improve industry-wide efforts against modern slavery. Transparent reporting on efforts to mitigate modern slavery risks demonstrates a commitment to addressing the issue and fosters trust with stakeholders.

The case of Antuzis & Ors v DJ Houghton Ltd serves as a stark reminder of the potential legal consequences of failing to address modern slavery in the supply chain. In this case, the court found that the company, DJ Houghton Ltd, had subjected workers to deplorable working conditions, effectively amounting to modern slavery. What sets this case apart is that the court held the directors personally liable for breaches of their duty of care to the workers. This case underscores the legal liabilities and reputational damage that organizations and their leadership can face if they neglect their responsibilities in the supply chain.

In Conclusion, modern slavery poses a significant risk to supply chains, jeopardizing ethical values, legal compliance, and corporate reputations. Supply chain managers have a crucial role in identifying and mitigating this risk by implementing due diligence, transparency measures, and ethical standards. By taking proactive steps to combat modern slavery, supply chain managers can protect their organizations and uphold their moral and legal obligations in an increasingly interconnected global economy. The case of Antuzis & Ors v DJ Houghton Ltd serves as a compelling reminder of the real-world consequences of failing to address this critical issue

Tutor Notes

- The case study mentioned above is an excellent one to use in an essay about Modern Slavery. DJ Houghton Ltd was charged 1m in 2016 for trafficking migrant workers from Lithuania to various egg farms in the UK. They were subjected to inhumane conditions, income below minimum wage, they failed to provide adequate facilities to eat, wash and rest, and threatened workers with fighting dogs. The company's Gangmaster Licence was also revoked.Antuzis & Ors v DJ Houghton Ltd | Addleshaw Goddard LLP

- Your answer may also make reference to ethical standards and accreditations such as Fair Trade, using the CIPS Code of Conduct, Modern Slavery Act, having a strong CSR policy, appointing an ethical Ombudsman, ILO Conventions and the 2018 Decent Work Agenda, SA8000. Mentioning these extra bits would likely get you a distinction.

Introduction

Effective leadership plays a crucial role in the success of a business, especially in small enterprises where employee motivation, supplier management, and operational efficiency directly impact profitability. Leadership styles should be adaptable to different situations, team dynamics, and external challenges.

Sarah, the manager of a small cake shop, adopts the Contingency Approach to Leadership, which means she adjusts her leadership style based on the specific circumstances her business faces. This essay will first explain what the Contingency Approach is and then discuss how Sarah can apply it to ensure her cake shop thrives.

1. What is the Contingency Approach to Leadership? (5 Points)

Definition

The Contingency Approach to Leadership suggests that there is no single best way to lead---instead, the best leadership style depends on the situation. A leader must evaluate environmental factors, team capabilities, business challenges, and supplier relationships to determine the most effective leadership style.

Key Principles of the Contingency Approach

Situational Adaptability -- Leaders must adjust their behavior based on the context, team skills, and challenges.

Flexibility in Decision-Making -- Some situations require authoritative leadership, while others benefit from a collaborative approach.

Focus on Environmental Factors -- External factors such as market trends, customer demand, and supplier reliability influence leadership decisions.

Influence of Team Maturity -- The leadership approach changes depending on whether employees are highly skilled and independent or require supervision and guidance.

Example of the Contingency Approach

If Sarah's cake shop faces a sudden staff shortage, she may need to adopt a directive leadership style, giving clear instructions to manage the crisis.

If she is introducing a new product line, she might collaborate with her team, encouraging creativity and innovation.

2. How Sarah Can Use the Contingency Approach to Ensure Business Success (20 Points)

Sarah's cake shop operates in a highly customer-focused industry where quality, efficiency, and customer service are essential. Applying the Contingency Approach effectively can help her improve operations, manage staff effectively, and strengthen supplier relationships.

(A) Adjusting Leadership Style for Employee Management

Sarah employs 8 staff members with varying skill levels, meaning she must tailor her leadership style to each employee's capabilities.

By adapting her approach to different staff members, Sarah ensures high productivity, job satisfaction, and skill development within her team.

(B) Supplier Relationship Management

Sarah's cake shop depends on local suppliers for ingredients such as flour, sugar, and dairy. A contingency approach helps her manage these relationships effectively:

Handling Reliable Suppliers (Low-Risk Situations)

Uses a collaborative leadership style, fostering strong long-term relationships.

Works closely with suppliers to negotiate bulk discounts and ensure high-quality ingredients.

Dealing with Supplier Disruptions (High-Risk Situations)

Uses directive leadership to make quick alternative sourcing decisions.

If a supplier fails to deliver ingredients on time, Sarah must quickly find replacements to keep operations running smoothly.

By adapting her approach based on supplier reliability, Sarah ensures consistent ingredient supply, cost efficiency, and business continuity.

(C) Responding to Business Challenges and Market Changes

The food industry is highly competitive, and Sarah must adjust her leadership approach to respond effectively to external challenges such as:

Seasonal Demand Fluctuations (Christmas, Weddings, Special Events)

Uses a participative approach, involving her team in planning for high-demand periods.

Encourages staff to suggest new cake designs, flavors, and promotional offers.

Handling Customer Complaints and Service Issues

Uses a customer-focused leadership approach, ensuring that employees prioritize customer satisfaction and feedback resolution.

Trains employees in effective communication and problem-solving.

Implementing New Technologies (e.g., Online Ordering System)

Uses a coaching approach, training staff step-by-step on the new system while gathering their feedback.

By staying flexible and responsive, Sarah ensures that her cake shop remains competitive, innovative, and customer-focused.

(D) Managing Workload and Crisis Situations

In any small business, unexpected crises can arise, such as staff shortages, equipment breakdowns, or raw material shortages. Sarah can use different leadership styles based on urgency:

Crisis Situations (e.g., Oven Malfunction, Sudden Staff Absences)

Uses a directive approach, giving clear instructions to ensure quick problem resolution.

Example: If a baker calls in sick on a busy day, Sarah reallocates tasks immediately to keep up with orders.

Daily Operations (Stable Work Conditions)

Uses a participative approach, allowing employees to contribute ideas for improving workflows and efficiency.

By using contingency-based leadership, Sarah ensures her cake shop runs smoothly under different circumstances.

(E) Encouraging Teamwork and Employee Motivation

A successful cake shop requires a motivated, engaged team. Sarah can use different leadership techniques to build a strong team culture:

Team Meetings and Brainstorming

Uses a democratic approach, encouraging employees to share creative cake designs and customer engagement strategies.

Recognizing Employee Achievements

Uses a supportive approach, rewarding employees for exceptional performance and customer service.

By adapting to different employee needs, Sarah builds a motivated, skilled, and loyal team, reducing turnover and improving overall performance.

Conclusion

The Contingency Approach to Leadership is an effective strategy for Sarah as it allows her to adapt to various challenges in her cake shop, ensuring smooth operations, strong supplier management, and motivated employees.

By modifying her leadership style based on the situation, employee skill levels, supplier performance, and business challenges, Sarah can:

Develop a high-performing team by offering the right mix of guidance and independence.

Manage supplier relationships effectively by adjusting her leadership approach based on reliability and market conditions.

Handle operational challenges efficiently, ensuring business continuity and customer satisfaction.

Ultimately, flexibility and adaptability are key to her success, making the Contingency Approach an ideal leadership style for small business management.

Overall explanation

Below you will find how you can plan and draft the essay. Remember this is an example of one way you could approach the question. At Level 6 the questions are much more open so your response may be completely different and that's okay.

Essay Plan

Intro -- what is contingency theory?

Each factor in a paragraph: external environment, technology, size, culture, goals, leader style, the people

Conclusion -- there is no universally 'right' way to structure an organisation, and it can change over time.

Example Essay

The Contingency Model of organization is a management and organizational theory that suggests there is no one-size-fits-all approach to organizing and managing a company. Instead, it proposes that the most effective organizational structure and management style depend on various external and internal factors, often referred to as contingencies. The core idea behind this model is that the optimal way to organize and manage an organization is contingent upon the unique circumstances or contingencies it faces.

Key factors that should be considered in the Contingency Model of Organization include:

Environmental Factors:The external environment, including factors like the industry in which the organization operates, economic conditions, competition, and legal and regulatory requirements, can greatly influence the organization's structure and strategy. An organisation should consider STEEPLED factors and Porter's 5 Forces when deciding which company structure would be most appropriate.

Technology:The nature of the organization's technology and the rate of technological change can impact its structure and processes. Some organizations may need to be more flexible and adaptive due to rapidly changing technologies, while others may rely on stable and proven technologies. For example, does the organisational structure allow people to work remotely from home?

Organizational Size:The size of the organization can affect its structure and management practices. Smaller organizations might have a more informal structure, while larger ones may require more formal hierarchies. For example a small organisation would not benefit from a bureaucratic structure, but a large organisation may need several levels of management and a degree of bureaucracy.

Organizational Culture:The culture of the organization, including its values, norms, and beliefs, can influence how it is structured and managed. For instance, an innovative and entrepreneurial culture may lead to a flatter, more decentralized structure.

Goals and Strategy:The goals and strategy of the organization play a crucial role in determining its structure and management style. Different strategies, such as cost leadership, differentiation, or innovation, may require different organizational structures and approaches.

Leadership Style:The leadership style of top management can impact the organization's structure and culture. Leaders with a preference for centralization may create a more hierarchical structure, while those who favour decentralization may opt for a flatter structure.

Human Resources:The skills, abilities, and motivation of the workforce can influence how an organization is structured and managed. A highly skilled and motivated workforce may require less supervision and a more decentralized structure.

The important thing to note with the Contingency Theory is thatthe organization's needs and circumstances can change over time, so what works best today may not be suitable in the future. Organizations must continuously assess and adapt their structures and management practices as contingencies evolve.

In essence, the Contingency Model recognizes that there is no universally optimal way to organize and manage an organization. Instead, managers must carefully assess and consider the various contingencies that affect their organization and make decisions accordingly. This approach promotes flexibility and adaptability in organizational design and management, allowing companies to better respond to changing circumstances and maximize their effectiveness.

Tutor Notes

- Another way this could come up as a question is related to a case study. You may be asked to pick out factors which would effect the way an organisation is structured.

- You could also be asked pros and cons of the contingency theory (pro: very flexible, highly responsive to changes con: people don't know where they stand, harder to find accountability)

- It's covered in detail in the studyguide but it's quite a simple concept -- the best structure for an organisation depends on lots of different factors.

Overall explanation

Below you will find how you can plan and draft the essay. Remember this is an example of one way you could approach the question. At Level 6 the questions are much more open so your response may be completely different and that's okay.

Essay Plan

Intro -- stress has impacts both for employee and employer

P1 -- how stress impacts on employees

P2 -- factors that lead to stress -- quote HSE

P3 -- how an organisation can look after workforce

Conclusion -- stress has far reaching consequences

Example Essay

Workplace stress is a prevalent issue that can have profound effects on employees and organizational performance. Stress arises from various sources and can significantly impact an individual's well-being, productivity, and job satisfaction. Recognizing the importance of addressing workplace stress, organizations have adopted strategies to mitigate its adverse effects. This essay explores the impact of workplace stress on employees, the factors contributing to stress, and organizational strategies for stress reduction.

Impact of Workplace Stress on Employees:

Physical Health Effects: Persistent workplace stress can lead to physical health issues such as headaches, digestive problems, and hypertension. In extreme cases, it has been known for stress to cause heart-attacks.

Mental Health Implications: Stress is closely linked to mental health disorders like anxiety and depression. Employees experiencing high levels of stress are at greater risk of developing these conditions, leading to decreased concentration, motivation, and overall job satisfaction.

Decreased Productivity: Stressed employees often find it challenging to focus on tasks, leading to reduced productivity and lower quality work. This can affect project timelines and overall organizational performance.

Increased Absenteeism: Stress-related illnesses can lead to increased absenteeism, impacting team dynamics and workload distribution. Absences can also result in increased costs for organizations.

Low Morale and Job Satisfaction: A stressed workforce may experience reduced job satisfaction and morale. This can lead to decreased engagement, a higher turnover rate, and difficulties in attracting and retaining talent.

Factors Contributing to Workplace Stress: The Health and Safety Executive (HSE) Management Standards of 2003 have identified six causes of work-related stress:

Lack of Support: Insufficient support from supervisors or peers can exacerbate stress, as employees may feel isolated and unsupported in challenging situations.

Excessive Workload (Demands): High workloads, unrealistic deadlines, and excessive overtime can overwhelm employees, leading to stress.

Lack of Control: Employees who have limited autonomy or decision-making authority may feel stressed due to a perceived lack of control over their work.

Role Ambiguity: Unclear job roles and responsibilities can create confusion and stress, as employees struggle to meet undefined expectations.

Change and Uncertainty: Frequent organizational changes, such as restructuring or layoffs, can create job insecurity and stress among employees.

Workplace Relationships: Poor relationships with colleagues or supervisors can contribute significantly to workplace stress. For example bullying or harassment in the workplace.

Organizational Strategies for Stress Reduction:

HSE Management Standards: Organizations can adopt the HSE Management Standards as a framework to identify and address stressors. This involves assessing workplace conditions related to the six stress factors and taking action to improve them.

Mental Health Support: Offer employee assistance programs (EAPs), mental health resources, and counselling services to help employees cope with stress and mental health challenges.

Training and Education: Provide training on stress management, resilience, and work-life balance to empower employees with coping strategies.

Workload Management: Ensure workload distribution is reasonable and aligned with employees' capabilities. Encourage breaks and discourage excessive overtime.

Communication: Promote open and transparent communication channels to address concerns, clarify roles, and keep employees informed about organizational changes.

Flexible Working Arrangements: Offer flexible working options, such as remote work or flexible hours, to help employees achieve a better work-life balance.

Leadership Training: Train managers to recognize signs of stress, provide support, and create a supportive and inclusive work environment.

In conclusion, workplace stress has far-reaching consequences on employees and organizational outcomes. A recent study by CIPD has shown that stress is the leading cause of long-term absence from work. Recognizing the sources of stress, organizations can implement strategies, and use the HSE Management Standards, to mitigate its impact. By fostering a supportive and healthy work environment, organizations can reduce stress levels, enhance employee well-being, and improve overall performance.

Tutor Notes

- I really wanted to add studying for CIPS when you have a full-time job is a factor that can lead to stress in the workplace. It's definitely not a wrong answer, but an examiner may not share my sense of humour haha

- I've chosen to write this essay in bullet points to show you how it can be done. This is a useful style if you're running out of time, and if English isn't your first language. The important thing with answering CIPS questions is to actually answer the question. You don't need 'posh' language like 'furthermore' and 'moreover'. You can get a good score by writing simply and succinctly.

- HSE Management Standards 2003 identifies six causes of work-related stress that I wrote about above. Here's a fun mnemonic to help you learn them: - SDCRRC -- stress does create really crappy realities

- The study guide doesn't talk about this, but you could mention Mental Health First Aid Courses, which are growing in popularity, and also the use of confidential counselling.

- Your essay could have mentioned Hatton vs Sutherland (2002). This case is an important precedent -- it shows that just because a workplace offers confidential counselling to employees, this does not negate responsibility for employee stress -- the company is still liable for causing you stress.