MBA 9 Year 1 PH January 2021
MBA 9 Year 1 PH January 2021
MBA 9 Year 1 PH January 2021
MASTER OF BUSINESS
ADMINISTRATION (NQF 9)
YEAR 1
_________________________________________________________________________________
_________________________________________________________________________________________
PROGRAMME HANDBOOK
JANUARY 2021 INTAKE
_________________________________________________________________________________________
Copyright© 2021
THE MANAGEMENT COLLEGE OF SOUTHERN AFRICA
All rights reserved, no part of this book may be reproduced in any form or by any means, including photocopying machines, without the written permission of the publisher
MANCOSA: MBA (GENERAL) STAGE 1 1
TABLE OF CONTENTS
1. WELCOME ................................................................................................................................................4
1.1 MESSAGE FROM THE PRINCIPAL - PROF YUSUF KARODIA .....................................................................4
1.2 MESSAGE FROM THE ACADEMIC OFFICE ..............................................................................................5
2. INTRODUCTION TO MANCOSA ..................................................................................................................5
2.1 BRIEF HISTORY OF MANCOSA ..............................................................................................................5
2.2 PROGRAMME OFFERINGS ...................................................................................................................6
3. THE MANCOSA VISION .............................................................................................................................7
4. THE MANCOSA MISSION ...........................................................................................................................7
5. MBA PROGRAMME STRUCTURE................................................................................................................8
5.1 OVERALL PROGRAMME OBJECTIVES ....................................................................................................8
5.2 PROGRAMME FOCUS ..........................................................................................................................8
5.3 MODULE OUTCOMES ..........................................................................................................................9
6. PROGRAMME ADMINISTRATION ............................................................................................................ 16
6.1 PROGRAMME MANAGEMENT ........................................................................................................... 16
6.1.1 General Information ................................................................................................................... 16
6.1.2 How to access student portals .................................................................................................... 16
6.1.3 How to access student email account .......................................................................................... 17
6.2 FINANCE ........................................................................................................................................... 18
6.2.1 Fee Payment .............................................................................................................................. 18
6.2.2 Payment of Fees and Other Dues ................................................................................................ 21
6.2.3 Payment Plans ........................................................................................................................... 21
6.2.4 Registration for Specific/Incomplete Modules ............................................................................. 21
6.2.5 Additional Fees/Charges ............................................................................................................. 22
6.2.6 Cancellation of Registration/Fee Liability .................................................................................... 22
6.2.7 Deferrals .................................................................................................................................... 23
6.2.8 Change of Electives..................................................................................................................... 23
6.2.9 Re-registration of Modules ......................................................................................................... 23
6.2.10 Miscellaneous Costs ................................................................................................................. 23
6.2.11 Payments ................................................................................................................................. 23
6.2.12 Account Details ........................................................................................................................ 24
6.2.13 Foreign Payments ..................................................................................................................... 24
6.3 STUDENT SUPPORT ........................................................................................................................... 25
6.3.1 Student Services ......................................................................................................................... 25
6.3.2 Regional Offices and Representatives ......................................................................................... 25
1
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 2
3
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 4
1. WELCOME
MANCOSA’s programmes promote a high level of independence through innovative learning and assessment
interventions. You can expect a carefully integrated mix of webinars, access to well-designed self-study materials
and online learning resources. One key feature of MANCOSA is its use of case studies, an active learning model
that teaches students how to assess, analyse, and act on complex business issues. Rooted in real-life experiences,
the business case method develops analytical skills, sound judgment, and the leadership potential within each
individual. This will equip you with cutting-edge skills that will position you to be a leader in your organisation
and community.
As we enter the period of the fourth industrial revolution we will need to meet its challenges, understand
innovation, confront artificial intelligence and its opportunities and prepare our students to be part of these
dynamic and necessary changes.
By enrolling on a MANCOSA programme, you will find unique rewards with lasting impact for your organisation
and career. We wish you well in your academic endeavours and assure you of our continued support towards
realising your goals.
Welcome to MANCOSA and to the HONORIS UNITED UNIVERSITIES network of Higher Education Institutions.
Prof YM Karodia
4
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 5
Welcome to the MANCOSA Master of Business Administration (MBA) degree programme. You are about to
embark upon a challenging, new journey, discovering new horizons and breaking new frontiers of knowledge.
For the duration of the programme you will be exposed to highly competent academics, who will not only share
with you their knowledge of the current practices necessary for a global, dynamic and turbulent environment,
but who will also guide you and mentor you to enable you to develop the desired graduate attributes (knowledge,
skills, attitudes and qualities), including critical-thinking and life-long learning skills. You can expect to experience
high quality, innovative, cutting-edge knowledge and scientific rigour in terms of research, teaching, learning and
assessment. Enjoy your journey on this road that will lead you to a higher level of knowledge, skills and abilities.
2. INTRODUCTION TO MANCOSA
MANCOSA is a private higher education institution registered in terms of the Higher Education Act (Act 101 of
1997 as amended). It was established in 1995 as a post-apartheid empowerment institution offering affordable
and accessible management education primarily to persons previously denied access to postgraduate education.
One of MANCOSA’s flagship programmes, the Master of Business Administration (MBA) degree has been offered
since 1995 (in association with the Buckinghamshire Chilterns University College and quality assured by the
Quality Assurance Agency for Higher Education of the United Kingdom until 2000). Since 2000, all MANCOSA
programmes are accredited by the Council on Higher Education (CHE) in South Africa.
During the past 23 years, MANCOSA has developed a large footprint across the Southern African Development
Community and has accumulated extensive experience in meeting the educational needs of a wide range of
students through the delivery of high quality programmes.
In 2014, MANCOSA announced the establishment of its prestigious Graduate School of Business [GSB], which
now serves as an innovation hub to underscore the delivery of postgraduate management programmes,
including two of the institution’s flagship programmes; the MBA degree and the Doctor of Business
Administration (DBA) degree. More recently, MANCOSA has expanded its programme offerings to include
teacher education programmes in order to meet the needs of another critical profession. This necessitated the
establishment of the MANCOSA School of Education.
In 2017, MANCOSA became a proud member of Honoris United Universities, the first Pan-African, private higher
education network committed to preparing and educating the next generation of African leaders and
professionals who are able to impact regionally in a globalised world.
MANCOSA’s reputation for academic excellence and strong research focus is reflected in numerous rankings and
external agency evaluations as well as the recognition and accreditation it holds in numerous countries.
MANCOSA is currently a member and/or affiliate of the South African Business Schools Association (SABSA), the
Association of African Business Schools (AABS), the National Association of Distance Education Organisations of
South Africa (NADEOSA), the European Foundation for Management and Development (EFMD) and the United
Nations Academic Impact Initiative (UNAI).
MANCOSA is also accredited, recognised and/or registered by the South African Department of Higher Education
and Training, Council on Higher Education and South African Qualifications Authority, and by the Mauritius
Tertiary Education Commission, Namibia Qualifications Authority, Zambia Higher Education Authority, Malawi
National Council for Higher Education, Eswatini Higher Education Council and Botswana Qualifications Authority.
In 2018, MANCOSA featured amongst the Top10 business schools in Africa offering the best Masters and MBA
programmes, according to the 2018 Eduniversal rankings. Similarly, MANCOSA features amongst the top 10
business schools preferred by employers, according to the 2018 Financial Mail rankings in South Africa.
5
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 6
MANCOSA programmes cover the areas of business administration, commerce, functional management and
leadership and teacher education and range from higher certificate programmes to doctoral degrees.
MANCOSA’s vision is to be the leading distance higher education provider that is responsive to the evolving
education and training needs of dynamic economies through a commitment to people, opportunity and quality.
MANCOSA endeavours to respond to the changing education demands of both public and private sectors in
dynamic economies through the provision of innovative education.
7
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 8
A student attaining the MANCOSA Master of Business Administration Degree should be able to:
Identify and solve problems in which responses display that responsible decisions using critical and creative
thinking have been made.
Display sound judgement and decision-making capabilities in business.
Identify and evaluate the environmental forces in organisations and the inherent and potential capacities of
an organisation.
Develop business policies and strategies for organisations to meet stakeholder's requirements.
Organise and mobilise the resources of the organisation to achieve strategic goals and targets.
Develop a reflective mind-set that can create continuous learning and growth in self, the staff and the
organisation.
Use science and technology effectively and critically, showing ethical responsibility towards the environment
and the health/well-being of others.
Develop conceptual and applied entrepreneurial skills.
Demonstrate the ability to apply conceptual and analytical frameworks within different organisational
management conditions.
Utilise appropriate financial management tools as an aid for decision-making purposes.
Display ethical behaviour in a corporate management context.
From the very outset, the MANCOSA MBA degree programme strives to maximise personal development, grow
management and leadership skills and contribute to positive economic change in the countries from which
students are drawn. The main focus of the programme is to ensure that students develop the ability to apply
management theory in practice.
The MANCOSA MBA degree programme comprises of 8 core modules, 1 elective and a dissertation component
and is spread over 18 months. On completion of all 8 coursework modules students are required to register for
the elective module and dissertation component.
YEAR 1 – SEMESTER 1 YEAR 1 – SEMESTER 2 YEAR 2
(6 MONTHS) (6 MONTHS) (6 MONTHS)
Dissertation
8
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 9
9
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 10
Managerial Economics
Upon completion of this module, the student should be able to:
Critically distinguish between microeconomics and macroeconomics in a business context
Critically and creatively identify and use various economic theories to solve business problems
Identify the parameters for efficient allocation of scarce resources,
Interpret and use economic data for planning and decision-making purposes in a business organization
Apply the theories of production and cost concepts to analyse the decisions of organisations to supply
quantities at various prices
Analyse and interpret implications of economic policies in business organisations
Analyse and apply basic quantitative methods within business organisations
Apply the cost and revenue concepts in different market structures
Analyse the impact of international trade and finance in the economy for strategic decision making purposes
Analyse and suggest solutions related to the impact of national income accounting, unemployment,
inflation, the economic cycle and fiscal policy on the macro economy as it relates to growth-focussed and
sustainable organisational strategy
Use basic quantitative methods to analyse business data and provide solutions for production, planning,
forecasting and other decision-making purposes
Use these quantitative methods in their dissertations and reports
10
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 11
Financial Management
Corporate Strategy
Upon completion of this module, the student should be able to:
Critically apply the concepts of strategy, strategy development and strategic management, and demonstrate
the need for and importance of competitive and comparative strategies with regards to strategic alignment.
Explain and interpret the vision and mission statements as a basis for creating a future for an organisation.
Analyse and interpret the results of an assessment of opportunities and threats in the external environment
for a business.
Analyse and interpret the results of an assessment of the internal environment of an organisation in terms
of its resources and competitive and comparative capabilities and provide creative solutions.
Interpret and apply the generic competitive strategies for competitive advantage.
Defend the choice of strategy or strategies in given industry, competitive, comparative and organisation
situations.
Suggest ways to build an organisation capable of effective strategy execution and sound strategic alignment.
Explain the importance of leadership, culture and teamwork in strategy development and its
implementation.
Link and apply enterprise performance management as being integral to the development and
implementation of strategy.
Critically understand the role of corporate governance and ethics in strategy development and
implementation.
11
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 12
Entrepreneurship (Elective)
Upon successful completion of this module, the student should be able to:
Apply steps required to research the potential for an innovative idea for the development of an existing
enterprise, a new venture or a social change opportunity.
Examine the key resources required to exploit an innovative idea or opportunity to develop an existing
business, launch a new venture, or initiate a social enterprise.
Apply the key steps required in exploiting an innovative idea or opportunity to develop an existing business,
launch a new venture, or initiate a social enterprise.
Identify and consider legal issues affecting business development, ownership and operation of commercial
property.
Address the development challenges that start-ups face.
Build skills needed to create high-value technology companies.
Critically analyse prospective venture capital investments.
Apply creativity techniques at the individual and organisational level to identify and capitalize on innovative
opportunities.
Behave entrepreneurially, creating and managing new ventures in global context.
Behave entrepreneurially to understand the entrepreneurial process, problems, and specifics of business
life-cycle to understand the problems, processes and specifics of start-ups and small businesses.
12
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 13
Leadership (Elective)
13
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 14
14
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 15
Dissertation
15
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 16
6. PROGRAMME ADMINISTRATION
(i) Livechat
Students are encouraged to interact with Student Services via Livechat using either the MyMancosa or
MancosaConnect student portals.
To log a query on the MyMancosa or MancosaConnect student portals, please follow the steps below:
Step 1: Login to the MyMancosa or MancosaConnect student portal
Step 2: Click “Live Chat” icon below
Or
For all Institutional rules and procedures, please refer to the Institutional Rule Book and Student Code of
Conduct.
16
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 17
Step 1: From a web browser, visit www.gmail.com to access your MANCOSA Student Email Account
Step 2: You will be directed to the page below where you will be requested to apply the following
instructions:
a) In the “Email” field enter your student number @students.mancosa.co.za
(for example: 123456@students.mancosa.co.za)
b) In the “Password” field enter ManDDMMYYYY (DDMMYY represents your date of birth)
for example: Man13061988
17
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 18
6.2 FINANCE
All queries relating to student accounts must be forwarded to:
Email: mancosa.debtorsquery@mancosa.co.za
The student, however, is ultimately responsible for all and any payment owing to MANCOSA in the case of
default by the sponsor.
Please contact the MANCOSA office if you require information on alternative payment methods.
18
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 19
STEP 1
Proceed to website www.mancosa.co.za
STEP 2
Click on Online Payment, as per screen 1 below:
Screen 1:
CLICK HERE
STEP 3
Enter all details
Screen 2
19
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 20
STEP 4
Once all details have been entered, click on Proceed to accept terms and conditions, as highlighted below:
CLICK HERE
STEP 5
Ensure all card details are entered as they appear on your card on the screen below:
Screen 3
Click on Pay to finalise transaction.
20
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 21
Screen 4
The following screen will appear once the payment transaction has been processed successfully:
A charge of R100.00 will be levied to cover administrative and bank charges in respect of:
returned cheques and/or
unpaid debit orders
21
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 22
(i) Livechat
Students are encouraged to interact with Student Services via Livechat using either the MyMancosa or
MancosaConnect student portals.
Or
22
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 23
6.2.7 Deferrals
The terms and conditions for deferrals is as follows;
A student’s request for deferral will only be granted once during the course of the programme and provided
the financial obligations are met
The deferral application and the relevant fee must reach MANCOSA before the 2nd assignment due date for
the current semester in order for it to be effective in the next intake and provided that no coursework has
been attempted
Applications in this regard may be submitted on the MyMancosa student portal by clicking on “Special
Request” and thereafter on “Deferral Request”.
The deferral fee is R 3 000.00
A deferral does not postpone the payment plan.
A deferral postpones an academic year or semester not individual modules. Re-registrations may not be
deferred
Assessments from incomplete modules will not be carried forward into the new registration/intake.
6.2.11 Payments
The following information must accompany all payments made to MANCOSA.
student number
full name, initials and surname
Proof of payment/transfer must be sent to the Finance Department via:
Email: finance@mancosa.co.za
If all details are not accurately provided to MANCOSA, your account may not be credited.
23
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 24
OR
24
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 25
(i) Livechat
Students are encouraged to interact with Student Services via Livechat using either the MyMancosa or
MancosaConnect student portals.
Or
(ii) Contact Student Services Call Centre
Students can call the Student Services call centre on 0873512833
MANCOSA
CITY/COUNTRY REPRESENTATIVE CONTACT DETAILS
25
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 26
26
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 27
In addition, students are able to obtain academic support by contacting the relevant tutor via the “Ask the Tutor”
platform that is available on the MancosaConnect student portal.
(i) Livechat
Students are encouraged to interact with Student Services via Livechat using either the MyMancosa or
MancosaConnect student portals.
Or
However, it must be noted that all study material provided must be read in conjunction with the textbooks that
are prescribed for each of the modules.
27
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 28
28
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 29
• Hough, J, Thomson, A.A, Strickland, AJ & Gamble, J.E. (2015). Crafting and
Corporate Strategy Executing Strategy. Creating Sustainable High Performance in South Africa 2nd
edition., London. McGraw-Hill
• Meyer, M. et. al. (2012). Managing Human Resource Development. Lexis Nexis
Human Resource • Noe, R.A. et al. (2016). Human Resource Management: Gaining a Competitive
Development Advantage. 10th edition. McGraw Hill.
• Kotler, K. and Keller, K. (2016). Marketing Management. 15th edition. Prentice-
Strategic Marketing Hall. Upper Saddle River, New Jersey.
Management • Cant, M.C., Van Heerden, C.H. & Ngambi, H.C. (2017) Marketing Management.
A South Africa Perspective. 3rd Edition. Cape Town: Juta
Strategies in • Heizer, J and Render, B. (2014). Operations Management. Sustainability and
Operations Supply Chain Management. 11th edition, New Jersey: Prentice Hall.
Management
• Jashapara, A. (2011). Knowledge Management an Integrated Approach. 2nd
Information and Edition. Prentice Hall. Pearson
Knowledge • Laudon K.C. and Laudon J.P. (2018). Management Information Systems:
Management Managing the Digital Firm.15th Edition. Pearson Education. Upper Saddle
River: New Jersey.
• Firer, C, Ross, S.A; Westerfield, R.W and Jordan, B.D. (2012), Fundamentals of
Corporate Finance, 5th South African Edition, United Kingdom: McGraw-Hill
Financial Limited.
Management • Skae, F.O. and Vigaro, F.A.A.(2012), Managerial Finance, 5th Edition,
LexisNexis, Durban.
• Schiller, B.R., Hill, C.D., Wall, S.L., (2013) Human The Economy Today 13th
Managerial Economics Edition, Boston: McGraw Hill.
• Janse van Rensburg.J, McConnell, C., Brue, S., (2011) Economics Second
Southern African Edition Boston: McGraw Hill.
• Mohr, P and Associates (2015), Economics for South African Students, Fifth
Edition: Van Schaik Publishers
• Saunders, M.N.K., Lewis, P., & Thornhill, A. (2016). Research Methods for
Research and Business Students (7th ed.). Harlow, United Kingdom: FT Prentice Hall.
Quantitative Methods
Note: The above prescribed readings have been provided at the time of publication of this handbook.
Should an updated edition be available, students can use either version.
29
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 30
(i) Livechat
Students are encouraged to interact with Student Services via Livechat using either the mymancosa or
mancosaconnect student portals.
Or
6.6 GENERAL
6.6.1 Award of Qualification
The qualification will be awarded on successful completion of all modules and the dissertation.
The student has 4 years from the time of first registration in which to complete the MBA programme. Failure to
do so in the stipulated time period will result in credit being issued for modules completed.
The student may not obtain a qualification “With Distinction” or “Cum Laude” unless he or she passes all modules
in the programme during the first examination sitting.
The student may not obtain a qualification “With Distinction” or “Cum Laude” if he/she has:
• attempted any supplementary or aegrotat examination or a resubmission of an assessment
• re-registered for any module in the programme
6.6.2 Graduation
On successful completion of all coursework required and on the settlement of all outstanding fees, a student
is eligible to attend a graduation ceremony where the qualification will be conferred upon the student. In
addition, the original certificate is issued to the student at the graduation ceremony.
All students graduating are liable for a fee of R 400.00. This amount does not include the cost of the academic
attire or photographs.
A separate charge will be levied per guest.
Students graduating in absentia will be liable for a fee of R 350.00. This includes the cost of postage/courier
of certificates to the student.
Graduation venues are determined on a rotational basis and graduation will not necessarily take place in the
province that a student is registered in.
Students will be required to attend the specific graduation ceremony they are invited to and are not allowed
to choose between different graduation ceremonies in the year.
30
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 31
7. ACADEMIC DELIVERY
MANCOSA is committed to ensuring quality teaching and learning through the use of digital platforms, tools and
resources. Students are provided with academic resources available on the Learning Management System (LMS)
portal called MancosaConnect. The platform is constantly being enhanced with academic transformative
learning and value-added content.
Webinars
A webinar is a lecture conducted online through the MancosaConnect portal. It is the primary teaching delivery
method for this programme. Students benefit from webinars which are designed to appeal to students’ multi-
sensory preferences. Live webinars can be accessed on the MancosaConnect portal as per the dates and times
provided in the webinar schedule and it allows students to interact with the lecturer. Recordings of the webinars
can be retrieved from the MancosaConnect portal and is available to those unable to attend live sessions and for
information and revision purposes.
Webinars for the January 2021 intake will commence from 27 February 2021 to 13 March 2021. The start dates
will vary depending on the programme. The webinar schedule per programme will be available on the
MancosaConnect student portal by no later than 30 January 2021.
Additional webinars may be conducted for specific modules. The purpose of these webinars is to supplement the
scheduled webinars and will be conducted specifically for modules identified as those students are experiencing
difficulty with. The dates for these webinars will be available on the MancosaConnect student portal at least two
weeks prior to the webinar.
Additional resources
Synchronous and asynchronous access to learning materials and additional resources are available on
MancosaConnect.
Students have access to multiple types of resources which include the MANCOSA online library, subscribed to by
the institution to support them in research and gaining information from academic sources.
“Ask the Tutor” is a platform on the LMS which is a community of engagement forum which enables students to
interact with their lecturers and peers on academic content related matters.
Discussion questions, supporting videos, articles, and activities are provided to the student throughout their
learning journey. PowerPoint presentations embedded with audio delivery are directed to both the visual learner
and those who learn best by listening. These provide a rich resource for learning and encourages independent
self-study.
Students are expected to engage in self-study and also work through activities provided which allows for ongoing
learning.
Please ensure that your contact details are updated and that you regularly check your email notification as well
as the MancosaConnect portal to ensure that you are updated with the latest developments and notifications.
31
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 32
8. ASSESSMENTS
All queries associated with assessments should be directed to Student Services via:
(i) Livechat
Students are encouraged to interact with Student Services via Livechat using either the MyMancosa or
MancosaConnect student portals.
Or
(ii) Contact Student Services Call Centre
Students can call the Student Services call centre on 0873512833
Formative Assessment 2 – This assessment is based on a project and requires calculations and/or application
to relevant theory.
Online Summative Assessment – This is an open book assessment and is similar in nature to the traditional
examination. The nature of questioning requires calculations and/or application to relevant theory
32
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 33
Formative The question for these assessments are available in the programme handbook and on
Assessment 1 and 2 the MancosaConnect portal. Students can work offline and submit the assessment on
the MancosaConnect portal by 23:59 (SA time) on the due date. In the event of a
student obtaining a mark less than 50%, the student is allowed to attempt the
resubmission assessment.
Online Summative An online summative assessment per module will be available, for a limited period of
Assessment five (5) hours on MancosaConnect.
Online summative assessments will be available for download at each scheduled session
opening time (as per the online summative assessment schedule in section 8 of the
programme handbook) and the assessment can be completed offline.
Students are advised to work with the downloaded document and type their answers to
each question in the allotted space provided on the document. The completed
assessment should then be uploaded on MancosaConnect before the session closes.
Refer to the Institutional Rule Book for detailed information on submission of assessments.
Formative An extension will be granted on the provision that the student has applied via the
Assessment 1 and 2 MancosaConnect student portal on or before the stipulated due date. Extensions will be
granted for a period of 5 calendar days.
Online Summative No extensions will be granted for this assessment. In the event that a student is unable to
Assessment attempt the assessment as per the schedule, the student will be required to apply for an
aegrotat assessment via the MancosaConnect portal. Aegrotat applications must be
submitted within 5 days of the scheduled final assessment being written. An aegrotat will
only be granted under exceptional circumstances once all the relevant supporting
documentation has been considered.
Please refer to the MancosaConnect portal for a tutorial on how to apply for an extension and aegrotat.
33
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 34
Formative The student is allowed to attempt the re-submission assessment. This only applies if the
Assessment 1 and 2 mark obtained in the first attempt is less than 50%. The higher mark of the 2 attempts
will apply.
Online Summative The student is allowed to re-write the online summative assessment. This only applies if
Assessment the subminimum of 40% in the online summative assessment is not met and/or the final
mark is less than 50%.
(i) Livechat
Students are encouraged to interact with Student Services via Livechat using either the MyMancosa or
MancosaConnect student portals.
Or
34
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 35
35
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 36
STEP 2
Login using your student number as user name and password.
STEP 3
Click on “My Information”.
STEP 4
Click on “Marks Details” to view your results.
36
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 37
DATE TIME
37
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 38
SECTION A (50)
Russian Economy between 1990 and 2007
The Russian Federation (Russia) faced several economic problems when it was formed after the dissolution of
Union of Soviet Socialist Republic (USSR) or the Soviet Union. Therefore, Boris Yeltsin the first President of Russia
implemented various measures for the economic growth of Russia, such as stabilization policies and economic
restructuring. These measures helped the Russian economy to become market-focused economy from a
centrally planned economy. These measures are briefly discussed in the present case study. In addition, the case
study also analyzes the policy measures presented by Vladimir Putin, Russia’s second President. It also focuses
on the economic conditions of Russia in the Presidency of Boris Yeltsin and Vladimir Putin and the impact of their
policies on the economy.
In 1990-1991, the inflation rate in Russia was very high and there was a shortage of supply in every industry. At
the time, the GDP of Russia showed a decline of 17% and retail prices had escalated to 140%. The political
conditions of Russia were also not good at this time. As a result, the Soviet Union was dissolved in 1991. After
that, Boris Yeltsin was elected as the President of Russia. Boris Yeltsin took several measures to transform the
Russian economy into a market-based economy. In 1991, Boris Yeltsin along with his advisors and an economist,
Yegor Gaidar implemented certain measures for bringing up the Russian economy from inflation. The measures
taken by him were stabilization measures and economic restructuring. The stabilization measures involved
decreasing the government budget deficit, increasing government revenues, and controlling the supply of money
by subsidizing credit provided to business persons. In addition, he enforced price control policies, made several
amendments in tax policies, and increased privatization. In the initial stages, the policies made by Boris Yeltsin
were not able to achieve the desired goals. However, with the introduction of monetary and fiscal policies, the
government was able to implement such measures and achieved its goals and objectives. In 1996, Boris Yeltsin
was again elected as the President of Russia. After that, Russia faced a situation of decrease in the foreign
exchange reserves and the economy started showing another decline. In 1998, Russian economy experienced a
financial crisis in which its currency, ruble, showed a decline of 75%. The financial crisis in Russia made people
turn against Boris Yeltsin; as a result, he faced high opposition in the parliament.
The State Duma elections of 1999 and Presidential elections of 2000 brought a major change in the Russian
politics. Vladimir Putin was elected as the President of Russia on 2000. The Parliament of Russia started
supporting policies introduced by Vladimir Pultin, the President of Russia and Mikhail Kasyanov, the Prime
Minister of Russia. Both of them looked at various legislative initiatives and measures to transform the Russian
economy in the market-based economy. In 2007, the Gross Domestic Product (GDP) of Russia was above $1
trillion. In the mid of 2000s, the growth of Russian economy was very fast that was mostly contributed by the
growth in domestic energy industry of Russia. According to various Russian analysts, the major source of income
for the Russian economy was oil exports. Therefore, the Russian economy showed a drastic change with the
change in the prices of oil. As a result, any decline in oil prices was considered as a risk factor for the sustainability
of the Russian economy. According to the report of World Bank in 2007, Russia should have taken measures to
control inflation as the global economy was going to face an inflationary condition, which might have affected
the Russian economy. However, Russia was the least affected country in the global economic slowdown of 2007.
It is because of the fact that the major contribution to GDP of Russia came from its fossil fuels and natural
resources that were hardly affected by recession. In addition, Russian trade with United States, which is the
source of financial crisis of 2007, was very limited.
Source: (https://ksbmcasestudy.blogspot.com/)
38
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 39
QUESTION 1 (25)
1.1 According to the case study, Boris Yeltsin, the first President of Russia implemented various measures for
the economic growth of Russia, such as stabilization policies and economic restructuring. Identify and using
your conceptual knowledge, critically evaluate these stabilisation and restructuring measures that were
introduced by Boris Yeltsin’s Government. (10)
1.2 Are free markets and economic privatization the answer to development problems, or do governments in
developing countries still have major roles to play in their economies? Critically discuss. (15)
QUESTION 2 (25)
2.1 Boris Yeltsin essentially turned the Russian economy into market-focused economy from a centrally planned
economy. Is it fair to conclude that a centrally planned economy does not work? Discuss fully. (15)
2.2 Evaluate how a market based economic system introduced by Yeltsin would have solved the economic
problems. (10)
SECTION B (50)
QUESTION 3 (25)
3.1 The production possibilities frontier in figure 1 below illustrates two kinds of efficiency: productive
efficiency and allocative efficiency between healthcare and education.
3.1.1 Explain in your own words what you understand by production possibility frontier by making reference
to points A, B and F. (5)
Figure 1
3.1.2 With reference to figure 1 above, distinguish between productive efficiency and allocative efficiency with
the use of examples. (10)
39
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 40
3.2 Return to the example in Figure 1. Suppose there is an improvement in medical technology that enables
more healthcare to be provided with the same amount of resources. How would this affect the production
possibilities curve and, in particular, how would it affect the opportunity cost of education? (5)
3.2.1 Can society produce in a way that is allocative efficient, but productively inefficient? Evaluate this
statement. (2)
3.2.2 What are the similarities between a consumer’s budget constraint and society’s production possibilities
frontier, not just graphically but analytically? (3)
QUESTION 4 (25)
4.1 The Take All Ski Company manufactures skis for beginners. Fixed costs are R30. Fill in the Table below
for total cost, average total cost, average variable cost, and marginal cost. (14)
4.2. Based on your answers to the Take All Ski Company above, now imagine a situation where the firm produces
a quantity of 5 units that it sells for a price of R25 each.
4.2.2. How can you tell at a glance whether the company is making or losing money at this price by looking at
average cost? (4)
4.2.3. At the given quantity and price, is the marginal unit produced adding to profits? (4)
40
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 41
Assessment Format
Word limit: Approximately 6000 words
Your assignment should include a Table of Contents page.
Text: Font: Arial or Times New Roman (12), Spacing: 1.5 lines
All text must be justified at each margin.
The length of your answers to each question should be in line with the mark allocation. Your answers must
include any theories, charts, tables or exhibits necessary to support your analysis and recommendations.
Additional research should be consulted, when answering the assignment questions.
Ensure that the readings are not merely reproduced in the assignment without original critical comments
and views. Cohesive and logical arguments reflecting original thinking is encouraged.
You MUST use theory/literature to support your discussion/observation and opinions. Do not merely extract
information from the Case Study.
References - At least 15 academic sources of reference must be used. (These include textbooks, journal
articles and internet sources that are relevant to your field of study. Academic sources do not include
Wikipedia and blogs). The MANCOSA study guide must not be used as a source of reference. You must
include Reference list at the end of your assignment. Information quoted/paraphrased from sources listed
in your Reference list must be referenced in-text. The Harvard system of referencing must be used.
It is imperative that students proof read and edit their assignments prior to submitting them.
Assignments must be free from errors and of a professional standard.
41
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 42
Read the extract below and answer ALL the questions that follow: (100)
The commonality of most recent research indicates an emphasised focus on knowledge management (technical,
human and communication components), and it is argued that knowledge leaders should implement strategic
integrated communication to ensure the sustainability of knowledge organizations. These knowledge leaders
should be able to: empower individuals to respond creatively to changing situations; adopt personal and active
attitudes, individual and organizational goals; contribute to resonant leadership practices; should be self- and
socially aware of emotions and goals; be equipped with skills such as self- and relationship management which
is characterised by transparency, adaptability, collaboration and motivation; and should be associated with a
supportive organizational climate due to a constructive organizational culture with the aim to inspire people to
learn. There are also risks associated with knowledge management systems.
Where knowledge management focuses on two main theoretical perspectives, namely human capital and
knowledge based theory, the theory of strategic integrated communication emphasises that knowledge leaders
should acknowledge the premises of the strategic intent of the organization by managing information through,
inter alia, motivation, innovation and creativity.
Knowledge assets are the knowledge drivers of an organization’s success. And they can be unstructured, tacit
knowledge. So as an example, there would be the deep expertise of key personnel. Or knowledge assets can be
structured, explicit knowledge, codified. Examples there would be patents, copyrights and intellectual
proprietary rights in codified form. What is interesting with knowledge assets is that the more you structure, the
more you codify knowledge, the easier it is to share that knowledge, both internally and externally
Source: https://www.weforum.org/agenda/2015/04/do-you-understand-your-companys-knowledge-assets/
QUESTION 1 (25)
Critically evaluate the concept of change management and report on relevant strategies an organisation must
take into consideration when implementing change.
QUESTION 2 (25)
Based on a company of your choice, elaborate on how organisational culture and organisational structure
impacts on the success of knowledge management.
QUESTION 3 (25)
With the emergence of the knowledge economy, it has become increasingly important for organisations to
reconsider the value of their tangible assets. The value of the organisation can no longer be viewed as the value
of the assets that reflect on the traditional balance and value sheets. Provide a critical view detailing how the
company you selected in question 2 can measure their intellectual capital in order to maximise the value from
their intellectual capital.
42
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 43
QUESTION 4 (25)
Information and knowledge management systems are vulnerable to technical, organisational, and environmental
threats from internal and external sources. The weakest link in the chain is poor system management. Provide a
detailed report highlighting technologies/tools to management for protecting a firm’s information resources.
Assessment Guidelines
Word limit: Approximately 6000 words
Your assignment should include a Table of Contents page.
Text: Font: Arial or Times New Roman (12), Spacing: 1.5 lines
All text must be justified at each margin.
The length of your answers to each question should be in line with the mark allocation. Your answers must
include any theories, charts, tables or exhibits necessary to support your analysis and recommendations.
Additional research should be consulted, when answering the assignment questions.
Ensure that the readings are not merely reproduced in the assignment without original critical comments
and views. Cohesive and logical arguments reflecting original thinking is encouraged.
You MUST use theory/literature to support your discussion/observation and opinions. Do not merely extract
information from the Case Study.
References - At least 15 academic sources of reference must be used. (These include textbooks, journal
articles and internet sources that are relevant to your field of study. Academic sources do not include
Wikipedia and blogs). The MANCOSA study guide must not be used as a source of reference. You must
include Reference list at the end of your assignment. Information quoted/paraphrased from sources listed
in your Reference list must be referenced in-text. The Harvard system of referencing must be used.
It is imperative that students proof read and edit their assignments prior to submitting them.
Assignments must be free from errors and of a professional standard.
43
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 44
While Pizza Hut relied on its Unique Selling Proposition (USP) of "dining experience", Domino's USP was a 30-
minute delivery frame. To penetrate the market, both the players redefined their recipes to suit the Indian tastes.
Domino's went a step ahead by differentiating regions and applying the taste- factor accordingly. Domino's also
made ordering simpler through a single toll-free number through-out the country. Domino's and Pizza Hut
expanded their market ever since they entered India. Domino's had grown from one outlet in 1996, to 101 outlets
in April 2001. Pizza Hut too, which began with just a single outlet in 1996 had 19 outlets in 2001.
Background
Domino's entered India in 1996 through a franchise agreement with Vam Bhartia Corporation. The first outlet
was opened in Delhi. With the overwhelming success of the first outlet, the company opened another outlet in
Delhi. By 2000, Domino's had a presence in all the major cities and towns in India. Pizza Hut entered India in June
1996 with its first outlet in Delhi. By 2000, Domino's had more than 6000 stores in the US and internationally.
Pizza Hut was a unit of Tricon Global Restaurants (Tricon) which included Kentucky Fried Chicken and Taco Bell.
Source: https://www.icmrindia.org/free%20resources/casestudies/pizza-wars1.htm
QUESTION 1 (25)
With the above case study in mind, discuss all the significant factors that Pizza Hut and Dominoes would have
had to take into consideration, in terms of the characteristics and buying behaviour of the emerging market
consumer, before entering the Indian market.
QUESTION 2 (25)
It is important to constantly scan the macro environment for changes that could pose threats to the business. In
your view, discuss what Demographic, Economic and Technological changes could affect Dominoes’ growth in
the Indian market.
QUESTION 3 (25)
To be branded in an emerging market products must be differentiated. Discuss the strategies that Dominoes
adopted in India; and suggest other product differentiation factors that they can use to set them apart from their
competitors.
QUESTION 4 (25)
Marketing Communications assists companies by contributing to brand equity and establishing the brand in the
memory of customers. Marketing Communication also helps drive sales and affects shareholder value. Propose
a Marketing Communications Mix for Pizza Hut to increase their sales and market share in India.
44
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 45
Assessment Format
Word limit: Approximately 6000 words
Your assignment should include a Table of Contents page.
Text: Font: Arial or Times New Roman (12), Spacing: 1.5 lines
All text must be justified at each margin.
The length of your answers to each question should be in line with the mark allocation. Your answers must
include any theories, charts, tables or exhibits necessary to support your analysis and recommendations.
Additional research should be consulted, when answering the assignment questions.
Ensure that the readings are not merely reproduced in the assignment without original critical comments
and views. Cohesive and logical arguments reflecting original thinking is encouraged.
You MUST use theory/literature to support your discussion/observation and opinions. Do not merely extract
information from the Case Study.
References - At least 15 academic sources of reference must be used. (These include textbooks, journal
articles and internet sources that are relevant to your field of study. Academic sources do not include
Wikipedia and blogs). The MANCOSA study guide must not be used as a source of reference. You must
include Reference list at the end of your assignment. Information quoted/paraphrased from sources listed
in your Reference list must be referenced in-text. The Harvard system of referencing must be used.
It is imperative that students proof read and edit their assignments prior to submitting them.
Assignments must be free from errors and of a professional standard.
The assignment has particular focus on the application of marketing theory and principles with strategic
marketing management perspective.
45
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 46
In matters of life and death, the last thing one should worry about is a supply chain. But when it comes to medical
devices and healthcare services, supply chain headaches can change the abbreviation for Out-Of-Stock to RIP in
a heartbeat.
Like many other manufacturing industries, medical device makers face the need to streamline an increasingly
complex supply chain. Of the approximate 6,000 medical device component and equipment manufacturers
selling goods today, between 50% and 80% of the industry’s $75 billion in revenues come from products
introduced during the last 3 to 5 years. That’s high turnover in a market already facing the tightest regulatory,
liability, and product-tracking requirements in history.
At the other end of the medical supply chain, hospitals and service providers are facing similar economic
pressures. In recent years, rising insurance costs and rising numbers of uninsured have sent hospital margins to
the lowest levels in the past decade, according to the Healthcare Financial Management Association.
In both cases, moving beyond in-house supply chain management to a consignment inventory management
solution (CIMS) can add vital points to a medical organisation’s bottom line.
Medical device manufacturers trying to go ‘lean’ by reducing inventories face the challenges of how to continue
to provide order fulfilment, warehousing, distribution, and customer service while reducing the inventory and
maintaining (or reducing) product lead times. The first step in relieving the medical supply chain headache is
realising that while a supply chain is critical to the manufacturing operation, it may not be a core strength of the
organisation or its people. Companies around the world are outsourcing non-core operations to benefit from
best in class solutions that reduce supply chain costs while improving overall customer service, such as NAL
Worldwide’s Centralised Supply and Logistics Centre (CSLC).
Consider the additional costs of traditional in-house inventory management processes. High sales projections
lead to overstocked inventory, which reduces the efficiency of the manufacturing schedule. Orders are filled on
a per requisition basis rather than a consolidated shipment to a particular customer. Extra shipments mean
additional transportation and labour costs and increase the chances for discrepancies and billing delays. When
is the last time you saw receiving operations at a hospital? The last thing they need is more inbound shipping
activity.
Finally, hospitals -- operating under their own economic constraints – resist carrying high inventory levels, leading
manufacturers to move towards a vendor managed inventory (VMI) system to get their high-value products as
close to the hospital as possible.
Unfortunately, VMI requires monthly audits from field sales when they should be identifying and servicing new
orders rather than reconciling inventory and billing documents.
46
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 47
needs of the healthcare industry. If this is done, many of the inventories, warehousing, distribution, and billing
problems facing manufacturers go away.
One call to a CLSC delivers all the materials needed for existing orders. A CLSC can consolidate deliveries, while
improving receiving, restocking, and service to the hospital. Space previously used for inventory becomes flexible
space for growth and revenue generation, while visibility across the manufacturing enterprise is greatly improved
through a centralised inventory/warehouse/logistics provider.
At the other end of the medical supply chain, hospitals also financially benefit from a centralised inventory
centre. Supply chain management, inventory, and procurement can account for up to 35% of a hospital’s
operating budget, according to Healthcare Purchasing News. Unofficial VMI can account for up to 50% of total
inventories, creating distribution, billing, and product lifecycle headaches for both manufacturers and hospitals.
Hospital supply chains spend approximately $8 billion each year on inventory management and order
management out of an estimated $11.5 billion in total supply chain costs. In this context, even small percentage
improvements to supply chain efficiencies quickly add up! Recent studies show that – just in the past 2 years –
hospitals that move to a Consigned Inventory Management System can expect to reduce supply costs by up to
3.5% within the first 4 years of operation, which equates to more than 1% of total hospital operating expenses.
Accessed from http://www.medicaldevices.org/public/links/documents/InboundLogistics-HealthcareKnowledgeBase6-
07Final.pdf.
QUESTION 1 (25)
With reference to the article evaluate the major challenges facing inventory management departments in South
African hospitals. Suggest ways in which these challenges should be overcome.
QUESTION 2 (25)
Sales of car covers for Sam’s AutoCare store in Durban over a 12-month period are shown in the table below.
The demand planner prepared a forecast using a combination of exponential smoothing and their collective
judgement for a 4-month period.
2.1 Compute the MAD and MAPE for the demand planner’s method. (10)
2.2 Do the demand planner’s results for the MAD and MAPE outperform the results from a naïve forecast? Hint:
You will need to calculate the MAD and MAPE for a naïve forecast. (15)
47
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 48
QUESTION 3 (25)
Income at the accounting firm Dumisa and Associates for a 6-month period is shown in the table below.
Use trend-adjusted exponential smoothing to forecast the firm’s July income. Assume that the initial forecast
average for January is R 65,000 and the initial trend adjustment is 0. The smoothing constants selected are 𝛼 =
0.1 and 𝛽 = 0.2
QUESTION 4 (25)
Using an appropriate diagram, to assess the different relationships in a manufacturing organisation.
Assessment Format
• Word Limit: Your assignment (excluding index, cover page, list of references and appendices) must not exceed
5000 words.
• Your assignment must include a table of contents page
• Text: Arial or Times New Roman, Font Size: 12, Spacing: 1.5 lines. All text must be justified at each margin.
• Your answers must include theories, charts, tables, appendices or exhibits necessary to support your analysis
and recommendations.
• References – At least 12 academic sources of reference must be used. (These include textbooks, journal
articles and internet sources that are relevant to your field of study. Academic sources do not include
Wikipedia and blogs). The MANCOSA study guide must not be used as a source of reference. You must include
Reference list at the end of your assignment. Information quoted/paraphrased from sources listed in your
Reference list must be referenced in-text. The Harvard system of referencing must be used.
• You MUST use theory/ literature to support your discussion/ observation and opinions.
• Ensure that readings are not merely reproduced in the assignment without original critical comments and
views.
• Students should proof read and edit their work prior to submission. Assignments must be free from errors
and of a professional standard.
48
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 49
QUESTION 1 (25)
WATER ECONOMICS IN A CHANGING CLIMATE- CAN INTERNATIONAL TRADE HELP ALLEVIATE WATER
SCARCITY?
As the state of California takes increasingly stringent measures in the face of a multi-year drought, there is
mounting concern that water shortages will hamstring the state's economy. While we are in no danger of running
out of water on a global level, regions from California to Pakistan to northeast Australia are being stretched to
the limit by rising water demand and changing weather patterns.
Water resources are distributed quite unevenly around the world, but global export markets can help alleviate
water imbalances by allowing countries and regions rich with fresh water to focus on the production of water-
intensive goods. A recent article appearing in the American Economic Journal: Applied Economics uses an
economic model of international trade to better understand the role of water in the global economy.
In The Global Economics of Water: Is Water a Source of Comparative Advantage? Author Peter Debaere asks
whether water resources have any bearing on a country’s exports. In the 1990s, hydrologists began to consider
the fact that while water is not actually shipped internationally in bulk, it is effectively traded in the form of
finished goods that require water to produce. When a carton of shirts crosses the Pacific in the hold of a cargo
ship, the thousands of gallons of water that were required to make them do not need to come along. Still, that
water can be thought of as part of a worldwide "virtual water" trade.
In this way, water-scarce countries can enjoy the bounty of water-produced goods, and conserve their smaller
water resources. This is the basic trade theory of comparative advantage at work. But if global trade is highly
dependent on water availability, then changing precipitation patterns have the potential to significantly disrupt
the economies of several countries.
To measure the impact of water resources on the industrial mix in each country, the author develops a measure
of "water intensity" intended to capture the ratio of water costs to total value added in each industry. Data
collected in the United States show that water intensity varies significantly by industry: sugarcane farming and
stone quarrying rank near the top, while the manufacture of medical equipment uses almost no water as a
percentage of value.
If global markets are using water as a source of comparative advantage, then each country’s exports will reflect
local water availability. Water-rich countries like Russia and Brazil will be more likely to concentrate in water-
intensive sectors like agriculture and mining, while water-poor economies in Africa, Europe, and western Asia
will tend to import these goods and focus their exports in other industries.
Debaere feeds this data into a model of national exports, which seeks to explain the export mix in each country
based on the amount of water, capital, land, and skilled labor available. As expected, countries with greater
water resources export more water-intensive goods, but the relationship is much weaker than that for capital or
skilled labor. A standard-deviation increase in water resources per capita is associated with only a 0.05 standard-
deviation increase in exports.
49
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 50
The evidence suggests that water-scarce countries, at least to some extent, protect their scarce water resources
by exporting less water-intensive goods that would tax their scarce resources even more. (Debaere 2014). These
results should reassure us that changing water availability, while potentially disruptive in some countries, will
not throw global trade into disarray. This is explained in part by the fact that water is generally so cheap that it
only makes up 1-3% of a producer’s added value in most industries outside of agriculture; even a doubling or
tripling of water prices does not significantly alter a producer’s profitability.
However, Debaere cautions that the relationship between water and trade may strengthen in the future. At
present, water prices in water-poor countries are kept artificially low, either because water is freely available in
rivers and lakes, or because governments explicitly or implicitly subsidize water for consumers and businesses.
If water scarcity deepens, governments may start to reconsider these policies and trade may become more
sensitive to local freshwater resources.
Even these lower estimates show the potential for climate change to alter trading patterns. Debaere notes that
the Australian government recently predicted a 10% nationwide decrease in precipitation by 2030. The model
predicts that if Australia’s water resources shrink by 10%, its export trade would drop by about 5% or $15 billion,
creating a small but meaningful dent in the Australian economy, especially its agricultural and resource extraction
sectors. As governments consider changes to water policy in coming years, they will be considering the potential
for these kinds of disruptive effects.
Source: "The Global Economics of Water: Is Water a Source of Comparative Advantage?" appears in the April 2014 issue
of the American Economic Journal: Applied Economics. By Tim Hyde
1.1 Climate change is thought to bring about serious changes to the availability of water in various parts of the
world. The above case study highlights the importance of understanding comparative advantage in the
production of water intensive output for international markets. Discuss the concept of comparative
advantage within the context of the virtual water hypothesis introduced in the case study. (10)
1.2 Some people may argue that countries do not always place much emphasis on comparative advantage when
designing their export mix. To what extent do you agree or disagree with this view? Discuss. (15)
QUESTION 2 (25)
THE RISE IN TRADE PROTECTIONISM
Steadily rising protectionism may well be an additional factor driving the decline in trade activity. From the end
of the Second World War, tariffs followed a downward trend that levelled off in both advanced and emerging
market economies during the first part of the 21st century, before starting on an upward trajectory in recent
months. At the same time, the use of regulatory measures and non-tariff barriers such as export subsidies,
restrictions on licensing or foreign direct investment, and domestic clauses in public procurement, has increased,
leading to an overall surge in trade distortions. According to data from the Global Trade Alert database
encompassing traditional and non-traditional trade measures, the number of new discriminatory actions
announced by G20 economies has risen steadily since 2012 and surged further in 2018. Anti-dumping measures
and import tariffs were the two most widely used instruments, together accounting for around 30% of all of
measures imposed. The use of indirect measures, such as state loans to exporting companies, has also increased
gradually.
The rise in protectionism implies that a progressively larger share of global trade has been affected by trade
distortions. Data from the Global Trade Alert database show that by 2017 more than 50% of exports from G20
countries was subject to harmful trade measures, up from 20% in 2009. Accordingly, trade growth has
50
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 51
decelerated more sharply in those sectors in which extensive discriminatory measures have been adopted than
in sectors that have benefited from trade liberalisation.
Along with these developments, public support for trade openness has declined, while protectionism has
increased globally. Perceptions of the risks associated with open trade have added to the broader list of concerns
related to globalisation. For example, free trade is sometimes believed to have made countries more vulnerable
to international crises and spillovers from abroad. Given its distributional consequences, free trade is also
considered to be a factor behind the rising inequality both within and across countries.
However, the merits of free trade are also widely recognised. International trade allows countries to specialise
in the production of goods in which they have a comparative advantage, while at the same time enabling
consumers to enjoy a greater variety of consumption goods. Empirical studies have found that trade openness
has led to higher income per capita across countries, spurring productivity growth and helping to reduce poverty
globally.
Nevertheless, the benefits of trade openness and their distribution across social groups vary between countries.
Factors such as the nature of export specialisation, the degree of production diversification and the quality of a
country’s institutions are found to be important pre-conditions for the benefits of trade openness to be fully
realised. Some have also challenged the benefits of free trade by claiming that “unfair practices” have damaged
domestic growth and job creation.
2.1 International trade is often seen as the ‘grand leveller of all playing fields’. It has the ability to very quickly
oust inefficient producers from the market. Based on this fact, organisations such as the WTO and GATT
have always openly criticised any form of trade barrier for their perceived inefficiencies. Critically evaluate
this statement in light of the resurgent protectionism led by the Donald Trump government as highlighted
in the case above. (10)
2.2 Assess the potential impact the brewing trade war between China and the USA would have on the
protagonists’ own economies as well as for rising economies such as South Africa. (15)
SECTION B (50)
QUESTION 3 (25)
3.1 Suppose you are in charge of sales at a pharmaceutical company, and your firm has a new drug that causes
bald men to grow hair. Assume that the company wants to earn as much revenue as possible from this drug.
If the elasticity of demand for your company’s product at the current price is 1.4, would you advise the
company to raise the price, lower the price, or to keep the price the same? What if the elasticity were 0.6?
What if it were 1? Explain your answer with relevant diagrams. (15)
51
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 52
3.2. The average annual income rises from $25,000 to $38,000, and the quantity of bread consumed in a year by
the average person falls from 30 loaves to 22 loaves. What is the income elasticity of bread consumption?
Is bread a normal or an inferior good? (5)
QUESTION 4 (25)
4.1 Nothando has 50 hours per week to devote to work or leisure. She has been working for R8 per hour. Based
on the information in Table 1, calculate her utility-maximizing choice of labor and leisure time. (10)
4.2 In Nothando’s problem, calculate marginal utility for income and for leisure. Now, start off at the choice with
50 hours of leisure and zero income, and a wage of R8 per hour, and explain, in terms of marginal utility how
Nothando could reason her way to the optimal choice, using marginal thinking only. (15)
Assessment Format
Word limit: Approximately 6000 words
Your assignment should include a Table of Contents page.
Text: Font: Arial or Times New Roman (12), Spacing: 1.5 lines
All text must be justified at each margin.
The length of your answers to each question should be in line with the mark allocation. Your answers must
include any theories, charts, tables or exhibits necessary to support your analysis and recommendations.
Additional research should be consulted, when answering the assignment questions.
Ensure that the readings are not merely reproduced in the assignment without original critical comments
and views. Cohesive and logical arguments reflecting original thinking is encouraged.
You MUST use theory/literature to support your discussion/observation and opinions. Do not merely extract
information from the Case Study.
References - At least 15 academic sources of reference must be used. (These include textbooks, journal
articles and internet sources that are relevant to your field of study. Academic sources do not include
Wikipedia and blogs). The MANCOSA study guide must not be used as a source of reference. You must
include Reference list at the end of your assignment. Information quoted/paraphrased from sources listed
in your Reference list must be referenced in-text. The Harvard system of referencing must be used.
It is imperative that students proof read and edit their assignments prior to submitting them.
Assignments must be free from errors and of a professional standard.
52
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 53
Techlyst is an information technology (IT) company that specializes in providing IT consultancy services to
businesses requiring to upgrade/implement various IT systems. You are the head IT analyst at Techlyst. Your key
role is to understand business and technology needs. Provide suggestions for designing, analyzing and
implementing efficient IT systems. Further to your role, you will be responsible for gathering feedback from end
users to continue improving systems. A key stakeholder has requested your services in analyzing and providing
a detailed informative report on the following:
QUESTION 1 (25)
The stakeholder is interested in implementing an expert system (ES) within their business to streamline their
error reporting process. In your capacity as the IT analyst provide a detailed report elaborating on the concept
of an expert system, include in your report an explanation of the components that are vital for the efficient
functioning of an expert system.
QUESTION 2 (25)
A neural network (NN) is a series of algorithms that endeavors to recognize underlying relationships in a set of
data through a process that mimics the way the human brain operates. The stakeholder wishes to upgrade their
current sales forecasting system, by including a neural network for time-series predictions. You were requested
by the stakeholder to conduct a presentation to his/her sales department elaborating on the concept of time
series prediction used in neural networks, types of neural networks and related benefits neural networks will
offer to their company.
QUESTION 3 (25)
The stakeholder had selected the rapid application development (RAD) approach to model the systems
mentioned in question 1 and question 2. You need to create a system development plan detailing the
steps/stages within the RAD development process, benefits of RAD development and your view on why RAD is
better in the current software development market.
QUESTION 4 (25)
The neural network system will be dependent on a Cloud platform/system. Provide a report to the stakeholder
informing him/her on the common data security risks related to Cloud computing.
53
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 54
Assessment Guidelines
Word limit: Approximately 6000 words
Your assignment should include a Table of Contents page.
Text: Font: Arial or Times New Roman (12), Spacing: 1.5 lines
All text must be justified at each margin.
The length of your answers to each question should be in line with the mark allocation. Your answers must
include any theories, charts, tables or exhibits necessary to support your analysis and recommendations.
Additional research should be consulted, when answering the assignment questions.
Ensure that the readings are not merely reproduced in the assignment without original critical comments
and views. Cohesive and logical arguments reflecting original thinking is encouraged.
You MUST use theory/literature to support your discussion/observation and opinions. Do not merely extract
information from the Case Study.
References - At least 15 academic sources of reference must be used. (These include textbooks, journal
articles and internet sources that are relevant to your field of study. Academic sources do not include
Wikipedia and blogs). The MANCOSA study guide must not be used as a source of reference. You must
include Reference list at the end of your assignment. Information quoted/paraphrased from sources listed
in your Reference list must be referenced in-text. The Harvard system of referencing must be used.
It is imperative that students proof read and edit their assignments prior to submitting them.
Assignments must be free from errors and of a professional standard.
54
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 55
Having been appointed as Marketing Manager of Volkswagen just after the emissions incident happened, you
are required to advise the board on the most appropriate brand crisis management and provide a revised
marketing strategy going forward, to restore confidence in the brand and prevent any further negative impact
on the brand.
You are required to research this incident and the company in detail.
You may use the following link to commence with your research:
https://www.econstor.eu/bitstream/10419/174928/1/cesifo1_wp6805.pdf
Format:
1. Title page
2. Table of contents (5)
3. Introduction / Problem statement (5)
4. Situation analysis (15)
5. Impact on the brand (10)
6. Positioning strategy (10)
7. Public Relations Crisis Management (5)
8. Ethics (10)
9. Your comment on how Volkswagen handled the crisis and recommendations to improve consumer
confidence (5)
10. Revised Marketing strategy going forward (25)
11. References and presentation (10)
55
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 56
Assessment Format
Word limit: Approximately 6000 words
Your assignment should include a Table of Contents page.
Text: Font: Arial or Times New Roman (12), Spacing: 1.5 lines
All text must be justified at each margin.
The length of your answers to each question should be in line with the mark allocation. Your answers must
include any theories, charts, tables or exhibits necessary to support your analysis and recommendations.
Additional research should be consulted, when answering the assignment questions.
Ensure that the readings are not merely reproduced in the assignment without original critical comments
and views. Cohesive and logical arguments reflecting original thinking is encouraged.
You MUST use theory/literature to support your discussion/observation and opinions. Do not merely extract
information from the Case Study.
References - At least 15 academic sources of reference must be used. (These include textbooks, journal
articles and internet sources that are relevant to your field of study. Academic sources do not include
Wikipedia and blogs). The MANCOSA study guide must not be used as a source of reference. You must
include Reference list at the end of your assignment. Information quoted/paraphrased from sources listed
in your Reference list must be referenced in-text. The Harvard system of referencing must be used.
It is imperative that students proof read and edit their assignments prior to submitting them.
Assignments must be free from errors and of a professional standard.
The assignment has particular focus on the application of marketing theory and principles with strategic
marketing management perspective.
56
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 57
SECTION A (40)
‘In effect our customers are using us to manage their stocks of lighting sources for them,’ says Jeff Schaffer, the
Managing Director of Flame Electrical. ‘They could, if they wanted to, hold their own stock but might not want
to devote the time, space, money or effort to doing so. Using us they get the widest range of products to choose
from, and an accurate, fast and dependable service.’
Central to the company’s ability to provide the service its customers expect is its computerised stock
management system. The system holds information on all of Flame’s customers, the type of lamps they may
order, the quality and brand of lamps they prefer, the price to be charged and the location of each item in the
warehouse. When a customer phones in to order, the computer system immediately accesses all this
information, which is confirmed to the customer. This leaves only the quantity of each lamp required by the
customer to be keyed in. The system then generates an instruction to the warehouse to pick up and dispatch the
order. This instruction includes the shelf location of each item. The system even calculates the location of each
item in the warehouse, which will minimise the movement of stock for warehouse staff.
Orders for the replenishment of stocks in the warehouse are triggered by a re-order point system. The re-order
point is set for each stocked item depending on the likely demand for the product during the order lead time
(forecast from the equivalent period’s orders the previous year), the order lead time for the item (which varies
from 24 hours to four months) and the variability of the lead time (from previous experience). The size of the
replenishment order depends on the lamp being ordered. Flame prefers most orders to be for a whole number
of container loads (the shipping costs for part-container loads being more expensive). However, lower order
quantities of small or expensive lamps may be used. The order quantity for each lamp is based on its demand,
its value and the cost of transportation from the suppliers. However, all this can be overridden in an emergency.
If a customer, such as a hospital, urgently needs a particular lamp which is not in stock, the company will even
use a fast courier to fly the item in from overseas – all for the sake of maintaining its reputation for high service
levels.
‘We have to get the balance right,’ says Jeff Schaffer. ‘Excellent service is the foundation of our success. But we
could not survive if we did not control stocks tightly. After all we are carrying the cost of every lamp in our
warehouse until the customer eventually pays for it. If stock levels were too high we just could not operate
profitably. It is for that reason that we go as far as to pay incentives to the relevant staff based on how well they
keep our working capital and stocks under control.’
Source: Slack et al (2006)
QUESTION 1 (40)
1.1 An inventory is a stock or store of goods. Inventory can take various forms. With reference to the relevant
theory support your justification whether Flame Electrical should hold inventory. (30)
57
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 58
SECTION B (60)
QUESTION 2 (20)
The Super Farming Group plants crops in Gauteng Province. The company has found that the harvest is highly
dependent on the annual rainfall. The table below show Super’s revenue and the rainfall in the area for the past 6
years.
2.1 Predict the revenue for the current season given the rainfall during the growing season. (16)
QUESTION 3 (20)
The Davidson Company specialises in the manufacture and supply of standardised unit-load equipment designed
with the intention of saving space and maximising security and value. Over the 20 years of operations, the market
in which the company operates has changed significantly to a point at which the company must aggressively
strive to maintain market share.
Part of the company’s strategy is the development of accurate forecasts. Your manager is trying to determine
what forecasting method would be most suitable, using the following data.
3.1. Calculate the simple three-month moving average forecast for periods 4-12. (10)
3.2. Calculate the weighted three-month moving average using weights of 0.4, 0.3, and 0.3 (largest weight to
most recent data) for periods 4-12. (10)
QUESTION 4 (20)
Formulate possible strategies to mitigate the bullwhip effect, using appropriate literature, diagrams and charts
to support your strategy.
58
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 59
Assessment Format
Word limit: Approximately 6000 words
Your assignment should include a Table of Contents page.
Text: Font: Arial or Times New Roman (12), Spacing: 1.5 lines
All text must be justified at each margin.
The length of your answers to each question should be in line with the mark allocation. Your answers must
include any theories, charts, tables or exhibits necessary to support your analysis and recommendations.
Additional research should be consulted, when answering the assignment questions.
Ensure that the readings are not merely reproduced in the assignment without original critical comments
and views. Cohesive and logical arguments reflecting original thinking is encouraged.
You MUST use theory/literature to support your discussion/observation and opinions. Do not merely extract
information from the Case Study.
References - At least 15 academic sources of reference must be used. (These include textbooks, journal
articles and internet sources that are relevant to your field of study. Academic sources do not include
Wikipedia and blogs). The MANCOSA study guide must not be used as a source of reference. You must
include Reference list at the end of your assignment. Information quoted/paraphrased from sources listed
in your Reference list must be referenced in-text. The Harvard system of referencing must be used.
It is imperative that students proof read and edit their assignments prior to submitting them.
Assignments must be free from errors and of a professional standard.
The assignment has particular focus on the application of marketing theory and principles with strategic
marketing management perspective.
59
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 60
DATE TIME
60
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 61
The last couple of years has seen an explosion in companies, primarily small, disruptive start-ups, coming
together to create a vibrant network of rapidly developing supply chains and collaborations. This shift from the
monolithic silos that characterised robotics only a few years ago promises to deliver better, more cost-effective
robots faster for use in a plethora of scenarios. The ability of these emerging leaders to innovate and create
solutions quickly can be seen in the many responses to the current crisis.
The future for robotics looks strong but in the short-term robotics start-ups are in a really difficult position. By
definition robots are physical. This is what makes them such a powerful technology as they have the ability to
literally have a direct impact on the real world. But it also means that the nature of our business does not lend
itself well to working from home. Development requires real-world testing and it is difficult for teams to do this
whilst maintaining social distance. Worse, for many, revenue is intrinsically linked to these physical proofs of
capability.
We are fortunate at SLAMcore in that we have a strong financial foundation with plenty of runway and, as a
software firm, we are better able to work remotely than many. But, as part of a broad ecosystem, I can see the
challenges that others are facing and understand the fragility of the entire industry even as we stand on the cusp
of huge growth and value. The only thing we can say with any certainty at the moment is that this will pass. When
it does, I expect a surge in interest from companies looking to use robots; investors looking to deploy capital in
this space; and, a general acceptance from the public that robots are a force for good. But our industry is a
delicate ecosystem at a crucial and fragile point as it matures from silos to supply chains. We need as many of us
to make it through to the other side as possible and not just become a graveyard for big tech companies to come
in and pick the bones.
I can see four practical steps that those who would look to benefit from the industry's strength and growth should
take now to help nurture it through the current storm. Invest in proofs of concept now. Many multinationals
have been considering the role of robotics in helping to transform their business. Now is the time to sign off on
proof of concept trials and prepare for the new normal once the current crisis fades. Pay upfront and start work
immediately on the elements that can be done remotely so that physical trials can be ready for when restrictions
are lifted.
Collaborate to build your stack. Don't try and do everything yourself. Robotics start-ups that did secure significant
investment in the good times can support the ecosystem whilst improving quality, capability and time to market
for their products. Identify those parts of the stack that are not core and where outside expertise could add
value. Create meaningful projects that help them to help you.
61
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 62
Co-create the hardware platforms of the future. Established hardware companies can ensure they are part of
the coming robotics boom by supporting the start-ups with the essential knowledge and skills to deliver it. Invest
in their future by paying these innovators to develop on your platforms. I assure you, the companies you support
will not forget. Keep the taps on. We are fortunate, as a company and as an industry, that VC firms have spotted
the opportunity and the promise of robotics. Investments have been made, but they need to be followed up.
Don't close your door to robotics deals but continue to invest in those companies rapidly creating the solutions
that will help solve this crisis, and the next. I'm proud that SLAMcore is part of this great industry at this pivotal
time. We all believe that robots are a significant force for good, and that now more than ever, people are
recognising the huge value we can add as an industry. We are very well positioned to weather this storm, and to
deliver this promising future, but our success is reliant on a vibrant and competitive robotics ecosystem. Let's all
do everything we can to make sure that our industry thrives.
Source: https://www.roboticstomorrow.com/news/2020/04/01/act-now-to-support-the-robotics-ecosystem/15116/
QUESTION 1 (25)
In the age of 4IR and robotics, critique whether strategic HRD can exist in its current form. In your response,
critically discuss the activities and characters of SHRD, and evaluate whether there is a space for it in 4IR.
QUESTION 2 (25)
Examine what learnings organizations are and the changes it would have to undergo to accommodate robotics.
QUESTION 3 (25)
With the current global business changes, especially around 4IR, examine the importance of risk management.
QUESTION 4 (25)
With the advent of 4IR, comes an increased reliance on technology. Discuss the impact of HRIS and E-learning
for human resource practices in organisations.
Assessment Format
Word limit: Approximately 6000 words
Your assignment should include a Table of Contents page.
Text: Font: Arial or Times New Roman (12), Spacing: 1.5 lines
All text must be justified at each margin.
The length of your answers to each question should be in line with the mark allocation. Your answers must
include any theories, charts, tables or exhibits necessary to support your analysis and recommendations.
Additional research should be consulted, when answering the assignment questions.
Ensure that the readings are not merely reproduced in the assignment without original critical comments
and views. Cohesive and logical arguments reflecting original thinking is encouraged.
You MUST use theory/literature to support your discussion/observation and opinions. Do not merely extract
information from the Case Study.
References - At least 15 academic sources of reference must be used. (These include textbooks, journal
articles and internet sources that are relevant to your field of study. Academic sources do not include
Wikipedia and blogs). The MANCOSA study guide must not be used as a source of reference. You must
include Reference list at the end of your assignment. Information quoted/paraphrased from sources listed
in your Reference list must be referenced in-text. The Harvard system of referencing must be used.
It is imperative that students proof read and edit their assignments prior to submitting them.
Assignments must be free from errors and of a professional standard.
62
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 63
QUESTION 1 (25)
Milo Limited, South Africa, is a specialist manufacturer of security doors and gates. In seeking to expand its
operations, it could acquire a Dutch subsidiary company, Nabby Guard, or set up a new division in its home
market. The relevant figures for these two options are:
Acquisition Euro
Acquire shares from existing shareholders 13 000 000
Redundancy costs 7 000 000
Annual Sales 27 000 000
Annual variable costs 15 000 000
Annual fixed costs 5 000 000
Consultants fees 6 300 500
Additional information:
- The project is expected to last for 10 years.
- Milo Limited, current cost of capital is 13%.
- The Dutch inflation is expected to be below the South African inflation by 2% per year, throughout the life of
this investment.
- The current exchange spot rate is R20 to the Euro (€).
Required:
1.1 Make all necessary calculations for the two options. (22)
1.2 Advise Milo Limited on the viability of these two opportunities. (3)
QUESTION 2 (25)
2.1 Explain the important role played by financial institutions and financial markets within the economy. (5)
2.2 The board of directors has approached you as the financial manager to come up with a remedial approach
to the company`s financial woes. They have tasked you with writing a report addressed to the Board of
Directors that will inform them on the following:
Identify and discuss three best different forms of short- term financing for business, including their
respective merits and characteristics.
Identify and discuss two best different forms of long -term financing, including their respective merits
and characteristics applicable for the above situation. (20)
63
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 64
QUESTION 3 (25)
Marry's Steam Laundry needs to install a new automated plant in order to overall its plant modernisation and
cost reduction programme. The plant can be leased or purchased. The company's pre-tax cost of capital is 10%
and the income tax rate is 30%.
Lease:
The plant could be leased for R32 600 upon delivery and installation, plus four additional payments of R32 600
to be made at the end of years 1 to 4. The lessor is responsible for all servicing and maintenance cost amounting
to R6 000 per annum. The plant has an expected life of six years. However, Marry plans to build an entirely new
plant in four years and has no interest in either leasing or owning the proposed plant for more than the stated
period.
Owning:
The plant has an invoice price of R100 000, including delivery and installation charges of R20 000. A cash payment
is made in full upon installation. Service fees of R9 000 will be paid at the end of each of the 4 years. Depreciation
is calculated at 25% per annum, using the reducing balance method. Marry intends to sell the plant at the end
of year 4, at its book value.
Required:
3.1 Calculate the after-tax cash outflows and the net present value of the cash outflows under each alternative.
(22)
QUESTION 4 (25)
The directors of Westwood Limited have appointed you as their financial consultant. They are considering new
investment projects and need you to calculate the cost of capital for the company.
3 450 000 ordinary shares with a par value of 75 cents per share. These shares are currently trading at R4.50
per share and the latest dividend paid is 30 cents. An average dividend growth of 13% is maintained.
500 000 14% R3.00 preference shares, with a market value of R5.00 per share.
R5 200 000 8% debentures due in 6 years’ time and the current yield-to-maturity is 6%, and
Additional information:
The company has a beta of 1.7, a risk-free rate of 5% and enjoys a premium of 8%.
The company's tax rate is 30%.
64
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 65
Required:
4.1 Calculate the weighted average cost of capital, using the Gordon Growth Model to calculate the cost of
equity. (20)
4.2 Calculate the adjusted weighted average cost of capital, using the Capital Asset Pricing Model as the cost of
equity. (5)
Assessment Format
Word limit: Approximately 6000 words
Your assignment should include a Table of Contents page.
Text: Font: Arial or Times New Roman (12), Spacing: 1.5 lines
All text must be justified at each margin.
The length of your answers to each question should be in line with the mark allocation. Your answers must
include any theories, charts, tables or exhibits necessary to support your analysis and recommendations.
Additional research should be consulted, when answering the assignment questions.
Ensure that the readings are not merely reproduced in the assignment without original critical comments
and views. Cohesive and logical arguments reflecting original thinking is encouraged.
You MUST use theory/literature to support your discussion/observation and opinions. Do not merely extract
information from the Case Study.
References - At least 15 academic sources of reference must be used. (These include textbooks, journal
articles and internet sources that are relevant to your field of study. Academic sources do not include
Wikipedia and blogs). The MANCOSA study guide must not be used as a source of reference. You must
include Reference list at the end of your assignment. Information quoted/paraphrased from sources listed
in your Reference list must be referenced in-text. The Harvard system of referencing must be used.
It is imperative that students proof read and edit their assignments prior to submitting them.
Assignments must be free from errors and of a professional standard.
65
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 66
Reflect on the following article and on the basis of the “requirements for the proposed study”, answer ALL the
questions that follow:
How can SA firms get ready for the new African adventure?
The slowdown in traditional export markets strengthens the case for a new focus on the continental trade bloc
23 JULY 2020 - 15:46
CAROLINE RHEEDER
It is difficult to see any area of economic activity, apart from the sale of protective equipment and black-market
cigarettes, that has flourished in recent months.
Certainly, the pandemic has halted progress towards implementing the African Continental Free Trade Area
(AfCFTA), which should have been coming into force about now.
However, trade, industry & competition director-general Lionel October recently told a parliamentary committee
that discussions are still under way, and the hope is that the AfCFTA will become operational at the beginning of
2021.
It has been clear for some years that the department’s major trade policy has been expanding our relations with
the rest of Africa. This involves not just boosting the flow of goods from one neighbour to another, which is a
major challenge in itself when we look at the queues at border posts, made worse recently by Covid rules and
work stoppages. It also involves far closer cross-border co-operation in areas such as manufacturing.
66
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 67
We see this already in the automotive sector, where pan-African plans are already taking shape through which
vehicles in kit form are being shipped from the hub in SA to other countries, where the assembly is happening.
So we are creating regional value chains.
It can be risky taking the EU as a model, but Europe’s market-opening strategy is familiar when we examine the
future architecture of the AfCFTA. As well as competing, through selling goods from one African neighbour to
another, we are also developing a model of co-operation.
Again using the automotive industry as an example, different components can be produced in different countries
without the need for every country to churn out completed vehicles. However, a new mindset is required. We
keep the SA market, but we expand it into an African market.
As tariffs fall and cross-border transport eases, our manufacturers and service providers will be given freer access
to a growing market. But only if we as business recognise the new opportunities and act faster.
Some of our companies are already operating in Africa and see the growth potential; others are aware of what
is out there but are not quite sure how to proceed. But there is also a significant number who are just not up to
speed.
So what should an SA firm be doing to prepare for new African adventures as markets open up? Our key advice
is that they should complete a readiness assessment, looking at what the opportunities are in those markets and
how to overcome the obstacles that will remain.
Too often I find some firms are operating in a knowledge and information vacuum. They are unable, or unwilling,
to see what their opportunities should be. What are the practical steps they must take to assess the new
markets? What must they do, and how do they go about it?
Any investigation should look at target markets in terms of corporate governance, supply-chain logistics, customs
tariffs and product development. This can be a complex exercise, but the rewards will flow if you get it right. You
will come unstuck if you get it wrong or just don’t bother to do your research before proceeding.
There is no magic formula, and it will be different for each product. Some will be complex, some quite simple.
You need to look at supplier development, at bringing products in from the rest of Africa as well as exporting to
the rest of Africa.
As with any focus on cross-border trade, attention needs to be paid to rules of origin, transfer pricing rules, what
the rates of customs duty will be, and how much cheaper it will be to sell in export markets and to source inputs
from the rest of the continent.
With some exceptions linked to existing trade agreements, the AfCFTA should usher in lower rates of duty on
trade within Africa than we will encounter when dealing with the rest of the world. So, a business planning an
African adventure needs to work out how much lower the duties will become over time, on what products, and
so on. Rules of origin are daunting, but vital when placing a product on the export market.
At what point is a product an African product, what is its composition, and where were its components
made? These are sensitive matters, especially for auto and clothing & textiles. But they matter. Get it right and
the tariffs begin to dissolve; get it wrong and you face tariff walls that could thwart your export drive. A readiness
assessment needs to put flesh on the bone.
67
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 68
Even before Covid-19 descended on us, forces of tariff protection were on the rise — the disputes between the
US and China being the most graphic example. The virus will accelerate the contraction of economies, and the
economic slowdown in all of our traditional export markets strengthens the case for a new focus on Africa.
Sitting on your hands and fretting will get you nowhere. It is now impossible to travel around the continent
because of Covid travel restrictions, but there is much that can still be done to prepare for the implementation
of the AfCFTA.
When the tariff walls come down, corporate SA must be prepared, poised and ready to advance. It may just save
your business.
Source: https://www.businesslive.co.za/bd/opinion/2020-07-23-how-can-sa-firms-get-ready-for-the-new-african-
adventure/
With a positivist stance in mind, you have formulated the following research objectives as part of your proposal:
QUESTION 1 (25)
Please outline how you would go about conducting the proposed study with reference to the following:
1.1 Provide a suitable title for the proposed study described above. (5)
1.2 State the aim and significance of the proposed study. (6)
1.3 Formulate FOUR (4) research questions that would constitute the focus of the proposed study. (4)
1.4 Provide a detailed discussion of the ontological and epistemological elements of the research philosophy
that would underpin your study. (10)
QUESTION 2 (25)
2.1 Critically discuss the concept of research design and motivate the choice of an appropriate research design
for your study. (10)
2.2 Consistent with the research design selected in 2.1 above, discuss a suitable sampling strategy that you
would use for the proposed study. (10)
68
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 69
QUESTION 3 (25)
With the proposal approved by the research committee at TABRI, you have collected data from 120 managers of
JSE-listed companies with the aim of determining the relationship between the expected AFCFTA-growth
opportunities and financial impact. You measured both the expected AFCFTA-growth opportunities and the
projected financial impact using a scale 1 to 10 (1 being the lowest score and 10 the highest possible score).
Table 3.1: Excerpt of data collected from 120 managers of JSE-listed companies
Respondent # Expected AFCFTA-growth Projected financial
opportunities impact
1 3 4
2 7 6
3 8 7
4 8 7
5 6 5
6 7 6
7 8 8
8 8 8
9 2 3
.. .. ..
120 1 2
To determine the relationship between the expected AFCFTA-growth opportunities and financial impact, you
used IBM SPSS Statistics 24 to perform the data analysis and the following output was obtained:
Kolmogorov-Smirnova Shapiro-Wilk
Statistic df Sig. Statistic df Sig.
AFCFTA_Growth_Opportunities .207 120 .165 .615 120 .365
Financial_Impact .271 120 .195 .501 120 .495
a. Lilliefors Significance Correction
AfCFTA_Growth_Opportunities Financial_Impact
Pearson Correlation AFCFTA_Growth_Opportunities 1.000 .793
Financial_Impact .793 1.000
Sig. (1-tailed) AFCFTA_Growth_Opportunities . .000
Financial_Impact .000 .
N AFCFTA_Growth_Opportunities 120 120
Financial_Impact 120 120
69
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 70
Required:
3.1 Identify the implied independent variable (IV) and dependent variable (DV) in the study. (4)
3.2 Identify and substantiate the levels of measurement associated with the independent and dependent
variables in question stated in 3.1. (4)
3.3 On the basis of the output, identify and justify the main inferential statistical test that was run to examine
the relationship between the expected ‘AFCFTA-growth opportunities’ and ‘Financial impact”. (4)
3.4 Provide a comprehensive interpretation of the output with respect to the significance, strength, and
direction of the correlation between ‘AFCFTA-growth opportunities’ and ‘Financial impact’. Your
interpretation should include the standard reporting format. (8)
3.5 Provide a practical recommendation emanating from the primary findings to the managers who took part
in the study. (3)
QUESTION 4 (25)
“Reliability and validity are tools of an essentially positivist epistemology” (Winter, 2000: 7).
In light of the above, discuss the measures of validity and reliability by specifying the terms and ways of
establishing and assessing the quality of quantitative research. It is important that the different dimensions of
validity and reliability are addressed as part of your discussion.
Assessment Format
Your assignment (excluding table of contents, cover page, diagrams, and appendices) must not exceed 4500
words/characters.
Your assignment must include a Table of Contents page as well as an assignment cover page.
Text font: Arial or Times New Roman (size 12), line spacing: 1½ lines.
All text must be justified at each margin.
Page Margins and page numbering: It is important to number your pages correctly. The initial pages should
be numbered in roman numerals. Page 1 begins at the introduction.
The standardization for page margins is 1.5 from the left and right of the page.
Line spacing: The required line spacing for the proposal is 1.5
Font style: Use either Arial or Times New Roman, Font size 12
Headings: Headings should be numbered in the following manner:
o Main headings should be in caps and bold.
o There are no periods after the last number used.
o Headings such as TABLE OF CONTENTS, ABSTRACT or ABBREVIATIONS are not numbered.
You are required to provide a Bibliography (i.e., List of references) One single alphabetical list of all references
cited in the text, containing in all cases full bibliographic details: author; date; title; publication; volume and
issue of journal, where applicable; pages of journal article, where applicable; publisher; city; as well as full
details of internet report author; title; URL of internet site and date on which internet site was accessed. We
prescribe the use of the Harvard referencing system.
70
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 71
The agenda of the Annual Meeting includes advance resolutions on capital measures and amendments to the
Articles of Incorporation. Among other things, the changes are intended to make virtual meetings and electronic
participation possible again in the future. The agenda also features proposed changes in the Supervisory Board’s
composition. Dr. Paul Achleitner’s term of office as a member of the Supervisory Board representing the
shareholders expires at the end of the Annual Meeting. The Supervisory Board proposes Timotheus Höttges,
Chairman of the Board of Management of Deutsche Telekom AG, Bonn, for election to the Supervisory Board.
“Daimler’s future will be sustainably fascinating, sustainably climate-neutral and last but not least, sustainably
profitable. In view of an ever-faster changing world, we must change at a faster pace. We need a lane change
towards decarbonization. That’s the direction we’re headed in and we’re following insistently,” says Ola
Källenius, Chairman of the Board of Management of Daimler AG and Mercedes-Benz AG, in his speech to
shareholders.
The next generation of the S-Class, which will be presented in autumn, represents the future of Mercedes-Benz.
It combines the two strategic focuses of electrification and digitization. 48-volt technology is standard with all
engines, and the plug-in hybrid version sets new standards in this segment in terms of electric range. The market
launch of the S-Class will be followed in 2021 by the EQS, the first fully electric luxury sedan from Mercedes-Benz
based on an all-electric architecture. At the same time, Mercedes-Benz is taking the next major step in terms of
digitization, safety and automated driving functions with an updated version of the MBUX navigation and
infotainment system.
“The S-Class is the world’s best-selling luxury sedan, and with the latest generation, we want to offer our
customers innovation, safety, comfort and quality like never before. We are above all a luxury brand and there
is great potential for further growth, especially at the upper end of the segments in which we are operating. So
we will systematically strengthen our brand portfolio and make it more attractive to a broader target group. We
are focused on building the most desirable cars in the world. That is our promise and the best path towards more
profitable growth,” says Källenius.
Current situation
After the global economy had started the year with positive indicators, the COVID-19 pandemic and the
countermeasures taken brought economic activities worldwide to a temporary standstill. Daimler proactively
countered the drop in demand caused by the pandemic by suspending production in March, April and May, and
by introducing short-time work. At the same time, expenditure was reduced and investments were consequently
focused on future-oriented projects. This safeguarded the company’s financial strength. At the end of the first
quarter, the net liquidity of the industrial business was at a robust level of €9.3 billion. In addition, Daimler
significantly increased its financial flexibility at the beginning of April with an additional syndicated credit facility
of €12 billion. “The measures we took were aimed at dealing with the situation in the short term but were also
71
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 72
designed to support our long-term course,” says Källenius. The Board of Management and the Supervisory Board
will propose to the shareholders at the Annual Meeting a dividend of €0.90 per share for the past financial year
(2018: €3.25). “The dividend proposal takes into account the careful and prudent balancing of the interests of all
stakeholders to which the company is responsible as well as the current business situation, in particular liquidity
and the business outlook,” says Bischoff. The proposed total dividend payout amounts to €1.0 billion (2018: €3.5
billion).
Earnings declined in the past financial year, mainly due to substantial extraordinary expenses, while unit sales
remained at the prior-year level. Daimler sold a total of 3.34 million cars and commercial vehicles (2018: 3.35
million). Revenue increased by 3% to €172.7 billion (2018: 167.4), and the Daimler Group achieved EBIT of €4.3
billion (2018: €11.1 billion). Adjusted EBIT reflects the ongoing business and amounted to €10.3 billion. Net profit
decreased to €2.7 billion (2018: €7.6 billion). Net profit attributable to the shareholders of Daimler AG amounted
to €2.4 billion (2018: €7.2 billion).
Outlook
As a result of the COVID-19 pandemic, global vehicle markets have suffered a massive slump in recent months.
In the first half of the year, unit sales of the Mercedes-Benz brand fell by nearly 19% to the number of about
870,000 cars. “Mercedes-Benz has already made up some ground in the second quarter. In China, for example,
Mercedes-Benz achieved its best second quarter ever in terms of unit sales. We are cautiously optimistic that
other markets will follow this development step by step. As soon as demand picks up again, we can increase
production quickly and efficiently,” Källenius says.
Truck sales fell by 38% to around 150.000 vehicles in the first six months of 2020 as a result of the pandemic and
the already weaker market environment, especially in Europe and North America. Order intake shows positive
signs in recent weeks in almost all key markets. At Daimler Mobility, contract volume on June 30 was 2% lower
at about €155 billion – compared to June 2019 and based on preliminary figures. Also in China, things are already
looking up again. The negative effects of the first quarter were offset in the second quarter.
Against the backdrop of the worldwide effects of the COVID-19 pandemic, Daimler expects negative adjusted
Group EBIT and a negative free cash flow in the industrial business in the second quarter. Also, as forecasted in
the first quarter revenue, will decrease significantly although the development of revenue in recent weeks,
particularly in the passenger car business, gives cause for cautious optimism. The early adjustment of production
and the measures introduced to limit costs and expenses had a positive effect on cash flow and liquidity.
“The necessary investments in the future can no longer be generated through increased revenue and ‘normal’
efficiency gains. The Board of Management has therefore adopted a program to improve the cost structure. Cost
discipline covers all areas of the company and is an essential prerequisite for a financially successful future,” says
Bischoff. In order to streamline processes and structures and to improve financial strength, Daimler launched a
comprehensive initiative across all divisions and the Group at the end of 2019. The respective measures are being
implemented at full speed and their positive effects are already being felt. “Our previous efficiency goals covered
the upcoming transformation, but not a global recession. That is why we are further refining our course,” says
Källenius.
“What makes me confident: There are plenty of reasons why Daimler can emerge from the current situation
stronger than before. That is why we now have to set the right priorities quickly. Daimler’s business model
combined with the innovative spirit, expertise and the commitment of its employees has all the prerequisites to
take mobility to the next level. The Supervisory Board is fully aware of the complex tasks facing the Board of
Management and supports all appropriate measures to shape the future successfully,” says Bischoff.
Source:https://www.automotiveworld.com/news-releases/daimler-pushes-its-sustainable-business-strategy-forward/
[Accessed July 2020]
72
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 73
QUESTION 1 (40)
“Daimler AG is maintaining its course in the midst of challenging economic conditions and continuing to invest
in the key technologies of the future to successfully shape the transformation.”
Consider this statement and the information presented in the article. Discuss the importance of environmental
analysis to organisations such as Daimler. Perform a detailed analysis of the macro-environmental forces that
have an impact on the business of Daimler.
QUESTION 2 (15)
Consider the current situation that Daimler is operating in. Discuss the key success factors required in the
industry.
QUESTION 3 (20)
“Daimler’s future will be sustainably fascinating, sustainably climate-neutral and last but not least, sustainably
profitable. In view of an ever-faster changing world, we must change at a faster pace. We need a lane change
towards decarbonization. That’s the direction we’re headed in and we’re following insistently,” says Ola
Källenius, Chairman of the Board of Management of Daimler AG and Mercedes-Benz AG, in his speech to
shareholders.
Consider the extract above from the article. Discuss the impact of this statement on the corporate citizenship of
Daimler.
QUESTION 4 (25)
Keeping the article in mind, discuss the generic strategy pursued by Daimler.
Assessment Format
Word limit: Approximately 6000 words
Your assignment should include a Table of Contents page.
Text: Font: Arial or Times New Roman (12), Spacing: 1.5 lines
All text must be justified at each margin.
The length of your answers to each question should be in line with the mark allocation. Your answers must
include any theories, charts, tables or exhibits necessary to support your analysis and recommendations.
Additional research should be consulted, when answering the assignment questions.
Ensure that the readings are not merely reproduced in the assignment without original critical comments
and views. Cohesive and logical arguments reflecting original thinking is encouraged.
You MUST use theory/literature to support your discussion/observation and opinions. Do not merely extract
information from the Case Study.
References - At least 15 academic sources of reference must be used. (These include textbooks, journal
articles and internet sources that are relevant to your field of study. Academic sources do not include
Wikipedia and blogs). The MANCOSA study guide must not be used as a source of reference. You must
include Reference list at the end of your assignment. Information quoted/paraphrased from sources listed
in your Reference list must be referenced in-text. The Harvard system of referencing must be used.
It is imperative that students proof read and edit their assignments prior to submitting them.
Assignments must be free from errors and of a professional standard.
73
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 74
Please read the instructions carefully before attempting the Project: (100)
An article and subsequent questions require a detailed and practical submission. You are expected to conduct
extensive research and apply the concepts to practical examples and circumstances. A balance of theory and
practical application is required.
The sophisticated ideas and processes that you need to inject some life into your business can be summed up in two
words: organizational learning. But what is organizational learning, and why does your business need to do it?
Organizational learning is a buzzword used to describe the process of transferring knowledge within an organization.
As your business gains experience, it should improve over time. You, your team, and your organization should be
creating a broad base of knowledge during this time, covering any and all topics that could improve the way you do
business. For example, you should learn more about your ideal customer, or create more efficient processes for
running your business.
In general, the experts talk about four different types of knowledge that exist and grow within an organization. They
divide them up into “communities” of learning.
Individual
Group
Organizational
Inter-organizational
Individual Learning
Obviously, this is the smallest learning community– a community of just one. When an individual worker learns new
skills or ideas, productivity and performance generally improve. In order to maximize the benefit of this individual
learning to the organization, the worker who learns the new skill must share it with co-workers. Otherwise, that skill
leaves with the worker. If the employee moves on to another job, the knowledge moves on with them, and the
organization is stuck in place.
Group Learning
Groups, or teams of employees, can also learn new skills together. When people spend the majority of their time
working on a team with specific co-workers, those teams tend to coordinate in such a way that they learn as a group.
The group members develop something that psychologists call “social psychological awareness.” This means that
each person perceives themselves as a part of the group, and one group member’s actions affect the group as a
whole.
A good example is a team of surgeons. You’ve probably seen hospital dramas where a team of doctors work on a
patient together. Everyone contributes ideas and solutions, they work on the surgery together, and they either save
or lose the patient as a team. If one of the doctors has experience with a particular medical problem, then they bring
it into the surgery so the team now has that experience, not just that one doctor.
74
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 75
Organizational Learning
Wait, isn’t this entire article about organizational learning? Well, yes. Technically, all four of these communities of
learning contribute to the organization as a whole. But this one type gets its own special designation.
So what are we talking about here? Well, organizational learning is the organization’s process of gaining knowledge
related to its function and using that knowledge to adapt to a changing environment and increase efficiency.
THE ORGANIZATION AS A WHOLE NEEDS TO LEARN AND ADAPT FOR LONG TERM SUCCESS.
A great example of a company that employs organizational learning is Toyota. According to The Toyota Way by
Jeffrey Liker (2004), this company looks at every problem as an opportunity to identify root causes and develop
countermeasures. They use a method called “the five whys.” It goes like this:
There is a puddle of oil on the floor —-> Clean up the puddle.
WHY is there a puddle of oil on the floor? Because the machine is leaking oil. ——> Fix the machine.
WHY is the machine leaking oil? Because the gasket has deteriorated. ——> Replace the gasket.
WHY has the gasket deteriorated? Because we bought inferior gaskets. —–> Order different gaskets next time.
WHY did we buy those gaskets? Because we got a good price on them. —–> Change the purchasing guidelines.
WHY did we choose gaskets based on price rather than quality? Because we evaluate purchasing agents based
on short-term cost savings. —-> Change our evaluation criteria.
Do you see how the organization as a whole has learned from this experience? Individual managers might have been
the people to ask those “WHYs,” but they transferred the knowledge to their organization by changing policies and
procedures based on what they learned.
Inter-organizational Learning
This is the broadest type of organizational learning, and it’s most common in franchises or large businesses with
multiple locations. For example, a franchise might learn how to operate their store by studying the franchise business
model.
Sorry, boss, but no. If it’s not already clear from what we’ve discussed thus far, organizational learning is necessary
if you want your business to compete in a changing environment.
THIS BUSINESS ENVIRONMENT IS CHANGING FASTER THAN EVER. THE TWENTY-FIRST CENTURY BROUGHT WITH IT
EXCITING NEW TECHNOLOGY, CHANGING THE WAY PEOPLE OPERATE.
At no time in history has the business environment changed faster than it’s changing right now. The twenty-first
century brought with it exciting new technology, changing the way people operate. We rarely shop, drive, cook,
learn, or communicate without some sort of digital assist anymore. If you want your business to stay appealing to
your customers, you have to adapt to their new ways of doing things.
And not only have these new technologies changed the ways in which people do business, but the technologies
themselves are constantly changing. So are the norms surrounding the use of those technologies.
Look at social media, for example. There was once a time when a business didn’t need an online presence at all. Then
for a while, a simple website and email address were enough to be cutting edge. Then you needed social media
accounts on Facebook and Twitter.
75
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 76
Next, it was important to share updates with your followers’ multiple times a day. Eventually, it wasn’t enough to
tweet updates about your business, you had to ask engaging, personal questions of your followers and share your
own stories as well.
A few years ago, experts warned against discussing politics or any polarizing issues online. Today, big companies get
attention by taking a stand on issues or even making fun of politicians.
The bottom line is your organization needs to continually learn in order to adapt to a changing environment. It’s not
enough for individuals within your organization to learn new skills. The organization as a whole need to learn and
adapt for long term success.
Create knowledge
The first step toward learning is creating, or taking in, knowledge and information. Managers should constantly seek
to uncover new knowledge about their business, customers, and environment. They can do this by conducting
surveys, performing market analyses, networking with colleagues in their industry, and studying competitors.
Remember our Toyota example above? The managers who solved the problem of the leaky oil gasket didn’t just find
out why the gasket was leaking. They used that information to change the way that they purchase gaskets in the
future. By using knowledge to inform decision-making and change processes, managers can transfer their individual
knowledge to the organization as a whole.
Think of organizational learning as the comprehensive knowledge structure of the organization. Individual managers
or groups of employees learn something new. They share that knowledge with the organization, which then uses it
to change its practices. This is how organizations adapt to a changing environment. And it’s how businesses thrive in
the long term.
Source: https://www.zenefits.com/workest/what-is-organizational-learning/
QUESTION 1 (30)
In an evolving global market, critically evaluate why the organisation needs to centre and align their approach to
a learning culture.
76
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 77
QUESTION 2 (40)
Examine the change process the organization would have to undergo to become a learning organization. Review
three theoretical frameworks before choosing the best possible solution. Provide reasons to why your option
would be most suitable to the organisation.
QUESTION 3 (30)
Evaluate the importance of having sound strategic human resource development practices as a key factor to this
organisation becoming a learning organization.
Assessment Format
Word limit: Approximately 6000 words
Your assignment should include a Table of Contents page.
Text: Font: Arial or Times New Roman (12), Spacing: 1.5 lines
All text must be justified at each margin.
The length of your answers to each question should be in line with the mark allocation. Your answers must
include any theories, charts, tables or exhibits necessary to support your analysis and recommendations.
Additional research should be consulted, when answering the assignment questions.
Ensure that the readings are not merely reproduced in the assignment without original critical comments
and views. Cohesive and logical arguments reflecting original thinking is encouraged.
You MUST use theory/literature to support your discussion/observation and opinions. Do not merely extract
information from the Case Study.
References - At least 15 academic sources of reference must be used. (These include textbooks, journal
articles and internet sources that are relevant to your field of study. Academic sources do not include
Wikipedia and blogs). The MANCOSA study guide must not be used as a source of reference. You must
include Reference list at the end of your assignment. Information quoted/paraphrased from sources listed
in your Reference list must be referenced in-text. The Harvard system of referencing must be used.
It is imperative that students proof read and edit their assignments prior to submitting them.
Assignments must be free from errors and of a professional standard.
77
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 78
QUESTION 1 (25)
Mia Carriers has determined that a new specialised delivery truck needs to be purchased. The truck will generate
a positive net present value NPV of R480 000, calculated using the company’s WACC of 20%. The truck can be
leased from the manufacturer. The lease agreement requires 5 annual payments of R800 000, with the first
payment due on the delivery of the vehicle. The truck can also be purchased at a cost of R4 million, inclusive of
a 4-year maintenance contract with the manufacturer. The R4 million will be paid upon delivery as the company
has enough reserves to cover the cost of truck in cash. The truck can be depreciated at 25% per annum using the
reducing balance method and will be sold at book value at the end of 4 years. Assume a current corporate tax
rate of 30% and a pre- tax cost of debt of 20%.
Required:
1.1 Determine the after-tax cash flows and the net present value of the cash outflows under each alternative.
(23)
1.2 Briefly indicate which alternative should be recommended. (2)
QUESTION 2 (25)
Required:
2.1 Determine the expected return of the entire portfolio that are listed above (5)
2.2 Determine the beta of the entire portfolio listed above (5)
2.3 Given the information provided above, you are required to determine whether the three banks are
overpriced, fairly or overpaid based on the information provided. Assume the risk- free rate is 8% and that the
expected return on the market portfolio is 12%. (15)
QUESTION 3 (25)
Ayoba Limited uses a combination of shares and debt in their capital structure. There are 4 million R1 ordinary
shares in issue and the current market price is R4.20 per share. The latest dividend paid was 65 cents and a 11%
average growth for the past six years was maintained. The company has 1 500 000 R2, 8% preference shares with
a market price of R1.80 per share. The company has 1 500 000 R2, 8% preference shares with a market price of
R1.80 per share. Ayoba Limited has a public traded debt with a face value of R3.2 million. The coupon rate of the
debenture is 11% and the current yield to maturity of 14%. The debenture has 6 years to maturity. They also
have a bank overdraft of R1.2 million due in 3 years’ time and interest is charged at 15% per annum.
Additional Information
Ayoba Limited has a beta of 2, a risk-free rate of 8% and a return on the market of 17%.
Company tax rate is 30%.
78
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 79
Required
3.1 Calculate the weighted average cost of capital, using the Gordon Growth Model to calculate the cost of
equity. (22)
3.2 Calculate the cost of equity, using the Capital Asset Pricing Model. (3)
QUESTION 4 (25)
Nexcare (Ltd) operate a number of car washes and auto valet services. The company has experienced a
reasonable trading year. They are deciding whether to pay out R248 000 in accumulated cash in the form of
dividend to shareholders or embark on a share repurchase campaign. Current earnings are R7,20 per share and
the share sells for R80.
Their abbreviated balance sheet before paying out the dividend is as follows:
Receivables 60 000
Bank/cash 300 000
Total 800 000 Total 800 000
Required:
4.1. Calculate the number of shares in issue if the company where to pay the dividend. (2)
4.2. Calculate the number of shares in issue if the company were to repurchase its shares (3)
4.3. Spanking clean (Ltd) is deciding whether to pay out cash dividend or not. Discuss the option of dividend
reinvestment plans and outline the benefits to the company and its shareholders. (6)
4.4. Calculate the dividends per share (for the first alternative, i.e. pay the dividend) (2)
4.5. Determine the net asset value of the firm should the company not exercise the option to repurchase its
shares. (2)
4.6. Determine the new share price, EPS and price earnings ratio under both alternatives ( ie. Pay the dividend
or repurchase the shares) (10)
79
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 80
Assessment Format
Word limit: Approximately 6000 words
Your assignment should include a Table of Contents page.
Text: Font: Arial or Times New Roman (12), Spacing: 1.5 lines
All text must be justified at each margin.
The length of your answers to each question should be in line with the mark allocation. Your answers must
include any theories, charts, tables or exhibits necessary to support your analysis and recommendations.
Additional research should be consulted, when answering the assignment questions.
Ensure that the readings are not merely reproduced in the assignment without original critical comments
and views. Cohesive and logical arguments reflecting original thinking is encouraged.
You MUST use theory/literature to support your discussion/observation and opinions. Do not merely extract
information from the Case Study.
References - At least 15 academic sources of reference must be used. (These include textbooks, journal
articles and internet sources that are relevant to your field of study. Academic sources do not include
Wikipedia and blogs). The MANCOSA study guide must not be used as a source of reference. You must
include Reference list at the end of your assignment. Information quoted/paraphrased from sources listed
in your Reference list must be referenced in-text. The Harvard system of referencing must be used.
It is imperative that students proof read and edit their assignments prior to submitting them.
Assignments must be free from errors and of a professional standard.
80
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 81
QUESTION 1 (100)
A useful way to identify a potential scientific research project in business and management is to look for a “pain
point” – a thorny problem plaguing a set of people in an organisation and requiring an urgent solution. A research
proposal is then prepared, demonstrating how the research project will be carried out.
A research proposal is a detailed description of a proposed study designed to investigate a given problem
(Traenkel and Wallen, 2008). It is intended to convince others that you have a worthwhile research project and
that you have the competence and the work-plan to complete it.
In this regard, you are required to develop a research proposal meant to showcase how you would approach a
research project relating to a “pain point” you have observed within a business or management context. Your
proposal is expected to address key questions relating to the research project and should be written using the
following broad guidelines on the next page:
81
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 82
1. Title of study
Brief, succinct (not more than 18 words)
Concise, and reflective of the intended study. Devoid of ambiguity
Describes the nature of the study
5Ws: Who? =pop/org./gender, What? = Behaviour, Attitude, Event, Any point of interest?
Where? = Company/org. geog., Why? = reason for the topic, When? = time period,
/2
longitudinal?/cross-sectional?)
Title relates to an area of current research interest.
Title is academically written.
Ethically sound. Steers away from sensitive issues, no stereotypes etc.
Not overly ambitious nor broad.
Title is related to business or management.
2. Introduction
Sufficiently outlines the way forward for study.
Clear, concise. /2
Gives a brief global perspective, regional perspective, national perspective, and finally the
org/firm perspective of the topic being studied.
4. Problem statement
Clear, specific, focused
Comprehensive
Convincing
Researchable problem
Relevant / Topical
Worthy of research, not a pseudo-problem
All of major variables have been identified and included in the problem statement
Sub-problems / sub-goals of the study been clearly defined
USE EVIDENCE TO SHOW THAT THERE IS A PROBLEM: /3
Quantitative data: e.g. declining statistics over time…
Qualitative data: e.g. descriptions from Annual reports, customer or employee verbal feedback…
82
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 83
6. Research Objectives
Clear connection to problem statement and the stated aim of the study.
Logical and aligned.
/3
Related to the literature review.
At least 3 research objectives.
The FINER criteria adhered to in the formulation of the research objectives (Feasible?,
Interesting?, Novelty, Ethical?, and Realistic?).
7. Research Questions
Aligned to aim of the stated study.
Derivatives of the research objectives.
/3
Related to the literature review.
At least 3 research questions.
The FINER criteria adhered to in the formulation of the research objectives (Feasible?,
Interesting?, Novelty, Ethical?, and Realistic?).
83
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 84
10.Research design
Clear justification why study is located in a particular research paradigm/approach.
Appropriate to the problem statement and able to accomplish research objectives.
/8
Clearly stated empirical research questions/ postulates/ hypotheses with clear link to problem
statement, research objectives, literature.
Well mapped, coherent, achievable research process
Population, sample, sampling unit, and sampling strategy/methods are appropriate to the
research paradigm chosen.
84
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 85
The description of data analysis should include the design of the analysis form, plans for
processing and coding the data and the choice of the statistical method to be applied to each
data. What will be the procedures for accounting for missing, unused or spurious data?
12.Research Instrument
Well-constructed, logical layout.
Adequately phrased, abiding by all instrument design requirements i.e. no leading questions,
avoid using double-barrelled questions /8
Instrument is aligned with the identified research paradigm (i.e., qual/quant) i.e. will answer
research questions
For new a questionnaire which is being designed specifically for your study the details about
preparing, precoding and pretesting of questionnaire should be furnished and the document
appended to the proposal.
Overall design complies with accepted scientific requirements set for this type of research
design, e.g. reliability, validity, generalisation, replication
13.Ethical considerations
Ethical considerations apply to all types of social science research. Major ethical issues should be
identified. /6
The proposal must describe the measures that will be undertaken to ensure that the proposed
research is carried out in accordance with the requisite ethical principles. Ethical issues should
be satisfactorily addressed/resolved.
The proposal must answer the following questions:
- Is the research design adequate to provide answers to the research question?
- Is the method of selection of research subjects justified?
- What measures will be taken to ensure confidentiality in terms of observations to be made?
Practical application of ethical theory to the study.
14.Demonstration of mastery
Demonstration of ability to conceive, design, plan, conduct and report on a piece of research
Logical flow /2
Well demarcated
15.References/ Bibliography
Correct use of in-text references /5
All citations referenced according to Harvard Guidelines
16.Formatting
Table of contents
Arial Narrow font
12 point font size
1.5 line spacing
Margins are justified /2
Page numbering
main headings (numbered, bold)
85
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 86
Assessment Format
Your assignment (excluding table of contents, cover page, diagrams, and appendices) must not exceed
4500 words/characters.
Your assignment must include a Table of Contents page as well as an assignment cover page.
Text font: Arial or Times New Roman (size 12), line spacing: 1½ lines.
All text must be justified at each margin.
Page Margins and page numbering: It is important to number your pages correctly. The initial pages
should be numbered in roman numerals. Page 1 begins at the introduction.
The standardization for page margins is 1.5 from the left and right of the page.
Line spacing: The required line spacing for the proposal is 1.5
Font style: Use either Arial or Times New Roman, Font size 12
Headings: Headings should be numbered in the following manner:
o Main headings should be in caps and bold.
o There are no periods after the last number used.
o Headings such as TABLE OF CONTENTS, ABSTRACT or ABBREVIATIONS are not numbered.
You are required to provide a Bibliography (i.e., List of references) for question 1: One single alphabetical
list of all references cited in the text, containing in all cases full bibliographic details: author; date; title;
publication; volume and issue of journal, where applicable; pages of journal article, where applicable;
publisher; city; as well as full details of internet report author; title; URL of internet site and date on
which internet site was accessed. We prescribe the use of the Harvard referencing system.
86
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 87
INSTRUCTIONS: (100)
Identify an existing organisation in an industry of your choice. The organisation can be either a profit or non-
profit seeking organisation. It is vital that you select an organisation that you are familiar with where information
can be made available to you (you have access) for the purposes of this project. If it is necessary, you may use a
fictitious name for the organisation – however, do note that whatever information you use for your project is for
assessment purposes only and will not be shared with third parties. Using the chosen organisation as the basis
for your project, attempt the following questions:
2. Provide a brief background of the selected organisation. This should include information such as :-
Company description (constituents and services offered) and brief history
Parent company or subsidiary information
Branches/locations
Operational highlights – number of employees, goals and accomplishments (5)
3. Analyse the general strategic management process used in your selected organisation. Considering best
practice as suggested by the literature, what suggestions can you make? (40)
4. The implementation of strategy relies on a thorough understanding of the environment in which the business
functions. South Africa presents its own challenges to the successful implementation of strategy. Most of
these challenges stem from the fact that South Africa is a developing country, and in developing countries,
the divide between economic reality and ideological agenda is not very clear. In other words, organisations
in developing countries are not managed purely along the lines of economic logic; business decisions also
have to be made against the backdrop of a dominant political and ideological climate.
With this statement in mind, discuss the challenges related to strategy implementation in South Africa and
more specifically to your chosen organisation. (You may use an African country of your choice). (40)
5. Upon analysing the strategy of your selected organisation, is it a winning strategy or a mediocre strategy?
Substantiate your position. (15)
87
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE
MANCOSA: MBA (GENERAL) STAGE 1 88
Assessment Format
The project should be presented in essay format incorporating theoretical frameworks discussed in the
workshops and applied to the article at hand. Projects must be presented in 12pt Arial Font and in 1½ line
spacing. The report must not exceed 30 pages. The 30 pages excludes the cover page, executive summary,
table of contents, bibliography and appendices where relevant. It is imperative that you include these
sections in your report.
You are expected to use at least 15 academic sources of reference. These include textbooks, journal articles
and internet sources that are relevant to the article. Academic sources do not include Wikipedia and blogs.
The MANCOSA study guide must not be used as a source of reference. You must include a bibliography list
at the end of your assignment. Information quoted/paraphrased from sources listed in your Reference list
must be referenced in-text. The Harvard system of referencing must be used.
You are expected to submit a professional document. As such, it is imperative that learners proofread and
edit their project prior to submitting it. Projects must be free from errors and of a professional standard.
Please pay attention to the following presentation issues:
Structure and grammar – spelling, formatting, layout, academic language, table of contents
Citation – in-text citation, limited citation, incorrect format etc.
Referencing – bibliography, use of Harvard style, quality of sources, limited sources etc.
Analytical and Critical Interpretation: The project must reflect cohesive and logical arguments reflecting
original thinking.
You MUST APPLY theoretical frameworks/literature to support your discussion/observation and opinions.
Do not merely extract information from the article or your research findings
The project will examine your understanding of the strategic management theory and students who will
excel are those who will apply the theory and not merely reproduce it.
88
PROGRAMME HANDBOOK: JANUARY 2021 INTAKE