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<=KNEC Diploma in ICT module 1 Communication Skills past paper: November 2021
14. Read the passage below and then answer the question that follow.
Micro and small businesses are now reviewing their strategies as they seek to change their fortunes following the adverse effects of the COVID-19 pandemic. Many businesses have seriously needed financial bailout to stay afloat. However, a new report on a number of enterprises reveals that, while money is crucial for their survival, business strategy and adoption of new innovative models such as going online are more important.
The Kenyan SME Performance Report by WYLDE International, a professional service firm that specializes in entrepreneurship surveys, reveals that nearly half of Small and Medium Enterprise (SMEs) recorded a decline in performance between September and October 2020. This was mainly due to economic setbacks caused by measures taken to contain the spread of the COVID-19 pandemic. The adverse effects of the pandemic have compelled many businesses to change tack. This is because they realized that finances are just one of the many aspects that make a healthy and thriving business.
While the funding of SMEs remained critical after COVID-19 restrictions were eased, the report says its significance has now lessened as businesses seek other alternatives. The report states that only 60 percent of the SMEs believe that funding or grants are important, which is lower than the 80 percent who believed the same in March-April 2020. Non-funding needs such as review of business strategy went up from 23 percent to 65 percent in the same period. Business development and managerial skills training was 46 percent while tax relief waivers and discounts took 45 percent. The WYLDE Report discovered that SMEs require strategy development for their businesses to grow than they need financing.
The report cited a number of challenges. One is inadequate capital at different stages of running a business. About 58 percent of SMEs rate capital related problems as the most pressing challenge. In addition, high operational expenses are an issue. The problem is compounded by myriad of factors such as the high cost of energy, labour and taxation among others. Additionally, the effect of lockdown also reduces operating hours that translates to lower sales and profits. In 2020, the government imposed a strict lockdown measures that included a ban on local and international flights, restricted movement in and out of some counties as well as curfews to contain the spread of CVID-19. These measures saw thousands of firms close down leading to loss of thousands of jobs. Some of these restrictions have, however, been lifted while others been cased. The turmoil caused by the pandemic did not just hit the SME sector but also big firms. The National Bureau of Statistics shows that the number of people in employment fell to 15.87 million between April and June 2020 compared to 17.59 million in the same period in 2019.
The report, whose sample was made up of 132 SMEs in Nairobi, revealed that businesses with less than five staff increased during the survey period as more SMEs resumed offering their services. The report also revealed that businesses had adapted their workforce to meet the growing market demand brought about by the slowly recovering economy. For employers, however, employee health and safety remained a huge concern followed by the need for staff retention.
To help the sector recover, traders are recommending removal of curfew to allow more hours of operating their businesses. They also want the government to educate them on the implication of the new taxes and their impact on businesses. Traders are further requesting for business support services by organizations and financiers to create stimulus funds for hard hit sectors such as tourism and hospitality. They also feel that they should be helped to develop digital business models to operate without geographical and time limits. Capacity-building programmes that focus on helping SMEs should be put in place. Traders also recommend leveraging on digital tools to remain visible, taking advantage of stimulus packages and adopting intentional growth strategies.
Adapted from: Business Daily, 23 February 2021
a) State the meaning of each of the following words and phrases as used in the passage.
i. Stay afloat;
ii. Compelled;
iii. cited
iv. turmoil
v. intentional (5 marks)
b) Highlight the challenges facing SMEs as cited in the WYLDE Report. (3marks)
c) In about 110 words and according to the passage, write a summary on the recommendations that traders are making to help SME sector recover. (10marks)
Micro and small businesses are now reviewing their strategies as they seek to change their fortunes following the adverse effects of the COVID-19 pandemic. Many businesses have seriously needed financial bailout to stay afloat. However, a new report on a number of enterprises reveals that, while money is crucial for their survival, business strategy and adoption of new innovative models such as going online are more important.
The Kenyan SME Performance Report by WYLDE International, a professional service firm that specializes in entrepreneurship surveys, reveals that nearly half of Small and Medium Enterprise (SMEs) recorded a decline in performance between September and October 2020. This was mainly due to economic setbacks caused by measures taken to contain the spread of the COVID-19 pandemic. The adverse effects of the pandemic have compelled many businesses to change tack. This is because they realized that finances are just one of the many aspects that make a healthy and thriving business.
While the funding of SMEs remained critical after COVID-19 restrictions were eased, the report says its significance has now lessened as businesses seek other alternatives. The report states that only 60 percent of the SMEs believe that funding or grants are important, which is lower than the 80 percent who believed the same in March-April 2020. Non-funding needs such as review of business strategy went up from 23 percent to 65 percent in the same period. Business development and managerial skills training was 46 percent while tax relief waivers and discounts took 45 percent. The WYLDE Report discovered that SMEs require strategy development for their businesses to grow than they need financing.
The report cited a number of challenges. One is inadequate capital at different stages of running a business. About 58 percent of SMEs rate capital related problems as the most pressing challenge. In addition, high operational expenses are an issue. The problem is compounded by myriad of factors such as the high cost of energy, labour and taxation among others. Additionally, the effect of lockdown also reduces operating hours that translates to lower sales and profits. In 2020, the government imposed a strict lockdown measures that included a ban on local and international flights, restricted movement in and out of some counties as well as curfews to contain the spread of CVID-19. These measures saw thousands of firms close down leading to loss of thousands of jobs. Some of these restrictions have, however, been lifted while others been cased. The turmoil caused by the pandemic did not just hit the SME sector but also big firms. The National Bureau of Statistics shows that the number of people in employment fell to 15.87 million between April and June 2020 compared to 17.59 million in the same period in 2019.
The report, whose sample was made up of 132 SMEs in Nairobi, revealed that businesses with less than five staff increased during the survey period as more SMEs resumed offering their services. The report also revealed that businesses had adapted their workforce to meet the growing market demand brought about by the slowly recovering economy. For employers, however, employee health and safety remained a huge concern followed by the need for staff retention.
To help the sector recover, traders are recommending removal of curfew to allow more hours of operating their businesses. They also want the government to educate them on the implication of the new taxes and their impact on businesses. Traders are further requesting for business support services by organizations and financiers to create stimulus funds for hard hit sectors such as tourism and hospitality. They also feel that they should be helped to develop digital business models to operate without geographical and time limits. Capacity-building programmes that focus on helping SMEs should be put in place. Traders also recommend leveraging on digital tools to remain visible, taking advantage of stimulus packages and adopting intentional growth strategies.
Adapted from: Business Daily, 23 February 2021
a) State the meaning of each of the following words and phrases as used in the passage.
i. Stay afloat;
ii. Compelled;
iii. cited
iv. turmoil
v. intentional (5 marks)
b) Highlight the challenges facing SMEs as cited in the WYLDE Report. (3marks)
c) In about 110 words and according to the passage, write a summary on the recommendations that traders are making to help SME sector recover. (10marks)
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Questions List:
1. List four ways in which effective communication helps to create a conducive environment in an organization
2. State three measures that a manager may take to encourage feedback from external publics
3. List three guidelines that should be followed when writing circular letters
4. State four reasons why a meeting may lack quorum
5. List two ways in which an employee can prepare for a promotion interview
6. List three limitations of using observation to gather information when writing a report
7. Outline three ways of creating a positive first impression when making a speech
8. State three disadvantages of using visual aids to pass information
9. Outline three measures that may be taken to increase efficiency when using ICT in communication
10. Different organizations emphasize certain areas of assessment in job selection interviews. Outline five such areas
11. Explain three reasons why it is important to evaluate a message during the listening process
12. Outline three benefits that an organization may derive from using modern technology to share information
13. Data Limited intends to fumigate all its offices. As the office assistant, write a memorandum to all the employees informing them about it
14. The management of Bryson Limited has noted low attendance of its online meetings. As the assistant office manager, you have been requested to investigate the matter and write a report. Assume that you have completed the investigations and write the report
15. 14. Read the passage below and then answer the question that follow. Micro and small businesses are now reviewing their strategies as they seek to change their fortunes following the adverse effects of the COVID-19 pandemic. Many businesses have seriously needed financial bailout to stay afloat. However, a new report on a number of enterprises reveals that, while money is crucial for their
1. List four ways in which effective communication helps to create a conducive environment in an organization
2. State three measures that a manager may take to encourage feedback from external publics
3. List three guidelines that should be followed when writing circular letters
4. State four reasons why a meeting may lack quorum
5. List two ways in which an employee can prepare for a promotion interview
6. List three limitations of using observation to gather information when writing a report
7. Outline three ways of creating a positive first impression when making a speech
8. State three disadvantages of using visual aids to pass information
9. Outline three measures that may be taken to increase efficiency when using ICT in communication
10. Different organizations emphasize certain areas of assessment in job selection interviews. Outline five such areas
11. Explain three reasons why it is important to evaluate a message during the listening process
12. Outline three benefits that an organization may derive from using modern technology to share information
13. Data Limited intends to fumigate all its offices. As the office assistant, write a memorandum to all the employees informing them about it
14. The management of Bryson Limited has noted low attendance of its online meetings. As the assistant office manager, you have been requested to investigate the matter and write a report. Assume that you have completed the investigations and write the report
15. 14. Read the passage below and then answer the question that follow. Micro and small businesses are now reviewing their strategies as they seek to change their fortunes following the adverse effects of the COVID-19 pandemic. Many businesses have seriously needed financial bailout to stay afloat. However, a new report on a number of enterprises reveals that, while money is crucial for their
