BUSINESS STUDIES
GRADE 12
REVISED NOTES TERM 1
Page | 1
,TAKE NOTE:
• This document should serve as a resource to guide teaching and learning of Business Studies
in Grade12.
• It does not replace the CAPS policy document; it was developed to support Business Studies
Grade 12 teachers and learners.
• The content/notes are aligned to 2023/24 Annual Teaching Plan, 2021 Examination Guidelines
and recent addendums (2023)
• Previous NSC & SCE papers, textbooks, examination guidelines and other sources relevant to
the subject were used.
Page | 2
, TERM ONE
TABLE OF CONTENTS
TOPICS PAGE
NUMBERS
CHAPTER 1: THE IMPACT OF RECENT LEGISLATION ON BUSINESSES 4
EXAMINATION GUIDELINES…………………………………………………………………...... 4
TERMS AND DEFINITIONS………………………………………………………………………. 5-6
1.1THE SKILLS DEVELOPMENT ACT…………………………………………………………... 6-9
1.2. LABOUR RELATIONS ACT/LRA……………………………………………………………. 9-10
1.3. EMPLOYMENT EQUITY ACT /EEA………………………………………………………… 10-13
1.4. BASIC CONDITIONS OF EMPLOYMENT ACT/BCEA…………………………………… 13-16
1.5. COMPENSATION FOR OCCUPATIONAL INJURIES & DISEASES ACT/COIDA……. 17-18
1.6. BROAD BASED BLACK ECONOMIC EMPLOYMENT ACT/BBBEE…………………… 19-23
1.7. NATIONAL CREDIT ACT/NCA……………………………………………………………… 23-25
1.8. CONSUMER PROTECTION ACT/CPA…………………………………………………….. 25-28
CHAPTER 2: HUMAN RESOURCES FUNCTION …………………………………………….. 29
EXAMINATION GUIDELINES……………………………………………………………………. 29-30
TERMS AND DEFINITIONS………………………………………………………………………. 30-31
2.1 HUMAN RESOURCES ACTIVITIES………………………………………………………… 31
2.1.1 RECRUITMENT …………………………………………………………………………... 31-32
2.1.2 DIFFERENCES BETWEEN JOB DESCRIPTION AND JOB-SPECIFICATION…. 32
2.3 TYPES/METHODS OF RECRUITMENT………………………………………………. 33
2.3.1 INTERNAL RECRUITMENT………………………………………………………………… 33
2.3.2 EXTERNAL RECRUITMENT………………………………………………………………. 34
2.4 SELECTION PROCEDURE……………………………………………………………... 35
2.5 INTERVIEW ……………………………………………………………………………………. 35
2.5.1 PURPOSE………………………………………………………………………………… 35
2.5.2 ROLE OF THE INTERVIEWER WHEN PREPARING /BEFORE AN INTERVIEW 35
2.5.3 ROLE OF THE INTERVIEWER AND INTERVIEWEE DURING AN INTERVIEW… 36
2.6. MEANING OF AN EMPLOYMENT CONTRACT…………………………………………... 36
.2.6.1 ASPECTS THAT SHOULD BE INCLUDED IN AN EMPLOYMENT CONTRACT… 36-37
2.6.2 LEGAL REQUIREMENTS OF THE EMPLOYMENT CONTRACT………………….. 37
2.6.3 REASONS FOR TERMINATING AN EMPLOYMENT CONTRACT………………… 37-38
2.7 INDUCTION……………………………………………………………………………….. 38
2.7.1 PURPOSE OF INDUCTION……………………………………………………………... 38
Page | 3
, 2.7.2 ASPECTS TO BE INCLUDED IN AN INDUCTION PROGRAMME…………………. 38-39
2.7.3 BENEFITS OF INDUCTION…………………………………………………………….. 39
2.8 PLACEMENT……………………………………………………………………………… 39
2.8.1 MEANING OF PLACEMENT…………………………………………………………….. 40
2.8.2 PLACEMENT PROCEDURE……………………………………………………………. 40
2.8.3 THE IMPORTANCE OF TRAINING/SKILLS DEVELOPMENT IN HRM…………… 40
2.9 SALARY DETERMINATION METHODS………………………………………………. 40
2.10 LINK BETWEEN SALARY DETERMINATION AND THE BCEA……………………. 40
2.11 FRINGE BENEFITS………………………………………………………………………. 41
2.11.1 EXAMPLES OF FRINGE BENEFITS IN THE WORKPLACE………………………. 41
2.11.2 IMPACT OF FRINGE BENEFITS ON BUSINESSES………………………………… 42
2.12 BENEFITS REQUIRED BY THE LAW/ COMPULSORY BENEFITS……………….. 43
2.13 IMPLICATIONS OF ACTS ON THE HUMAN RESOURCES FUNCTION…………. 44-46
CHAPTER 3: ETHICS AND PROFESSIONALISM 47
EXAMINATION GUIDELINES……………………………………………………………............. 47
TERMS AND DEFINITIONS………………………………………………………………………. 48
3.1. INTODUCTION AND MEANING OF ETHICAL BEHAVIOUR …………………………..,. 48
3.2. EXAMPLES OF ETHICAL AND UNETHICAL BUSINESS PRACTICE…………………. 49
3.3. MEANING OF PROFESSIONAL BEHAVIOUR ……………………………………………
50
3.4. EXAMPLES OF PROFESSIONAL AND UNPROFESSIONAL BUSINESS PRACTICE
3.5. DIFFERENCES BETWEEN ETHICAL BEHAVIOUR AND PROFESSIONAL 50
BEHAVIOUR …………………………………………………………………………………. 50
3.6. WAYS IN WHICH BUSINESSES CAN APPLY KING CODE PRINCIPLES FOR 51-52
GOOD CORPORATE GOVERNANCE ……………………………………………………..
3.7. WAYS IN WHICH PROFESSIONAL, RESPONSIBLE, ETHICAL AND EFFECTIVE
BUSINESS PRACTICE SHOULD BE CONDUCTED ……………………………………. 52-53
3.8. TYPES OF UNETHICAL BUSINESS PRACTICES AND EXAMPLES…………………. 53
3.9. CHALLENGES POSED BY THE ABOVE MENTIONED UNETHICAL BUSINESS
54-55
PRACTICE ……………………………………………………………………………………..
3.10. TYPE OF UNPROFESSIONAL BUSINESS PRACTICES AND EXAMPLES……… 56-57
3.11. CHALLENGES AND STRATEGIES TO DEAL WITH THE ABOVEMENTIONED
TYPES OF UNPROFESSIONAL BUSINESSES PRACTICES ……………………….. 58-60
CHAPTER 4: CREATIVE THINKING AND PROBLEM SOLVING 61
EXAMINATION GUIDELINES……………………………………………………………………. 61
TERMS AND DEFINITIONS………………………………………………………………………. 61
4.1. PROBLEM SOLVING…………………………………………………………………………. 62
4.1.1. MEANING OF PROBLEM SOLVING……………………………………………………… 62
4.1.2. MEANING OF DECISION MAKING……………………………………………………….. 62
4.1.3. DIFFERENCES BETWEEN DECISION MAKING AND PROBLEM SOLVING………. 62
4.1.4. PROBLEM SOLVING STEPS……………………………………………………………… 62-64
Page | 4
GRADE 12
REVISED NOTES TERM 1
Page | 1
,TAKE NOTE:
• This document should serve as a resource to guide teaching and learning of Business Studies
in Grade12.
• It does not replace the CAPS policy document; it was developed to support Business Studies
Grade 12 teachers and learners.
• The content/notes are aligned to 2023/24 Annual Teaching Plan, 2021 Examination Guidelines
and recent addendums (2023)
• Previous NSC & SCE papers, textbooks, examination guidelines and other sources relevant to
the subject were used.
Page | 2
, TERM ONE
TABLE OF CONTENTS
TOPICS PAGE
NUMBERS
CHAPTER 1: THE IMPACT OF RECENT LEGISLATION ON BUSINESSES 4
EXAMINATION GUIDELINES…………………………………………………………………...... 4
TERMS AND DEFINITIONS………………………………………………………………………. 5-6
1.1THE SKILLS DEVELOPMENT ACT…………………………………………………………... 6-9
1.2. LABOUR RELATIONS ACT/LRA……………………………………………………………. 9-10
1.3. EMPLOYMENT EQUITY ACT /EEA………………………………………………………… 10-13
1.4. BASIC CONDITIONS OF EMPLOYMENT ACT/BCEA…………………………………… 13-16
1.5. COMPENSATION FOR OCCUPATIONAL INJURIES & DISEASES ACT/COIDA……. 17-18
1.6. BROAD BASED BLACK ECONOMIC EMPLOYMENT ACT/BBBEE…………………… 19-23
1.7. NATIONAL CREDIT ACT/NCA……………………………………………………………… 23-25
1.8. CONSUMER PROTECTION ACT/CPA…………………………………………………….. 25-28
CHAPTER 2: HUMAN RESOURCES FUNCTION …………………………………………….. 29
EXAMINATION GUIDELINES……………………………………………………………………. 29-30
TERMS AND DEFINITIONS………………………………………………………………………. 30-31
2.1 HUMAN RESOURCES ACTIVITIES………………………………………………………… 31
2.1.1 RECRUITMENT …………………………………………………………………………... 31-32
2.1.2 DIFFERENCES BETWEEN JOB DESCRIPTION AND JOB-SPECIFICATION…. 32
2.3 TYPES/METHODS OF RECRUITMENT………………………………………………. 33
2.3.1 INTERNAL RECRUITMENT………………………………………………………………… 33
2.3.2 EXTERNAL RECRUITMENT………………………………………………………………. 34
2.4 SELECTION PROCEDURE……………………………………………………………... 35
2.5 INTERVIEW ……………………………………………………………………………………. 35
2.5.1 PURPOSE………………………………………………………………………………… 35
2.5.2 ROLE OF THE INTERVIEWER WHEN PREPARING /BEFORE AN INTERVIEW 35
2.5.3 ROLE OF THE INTERVIEWER AND INTERVIEWEE DURING AN INTERVIEW… 36
2.6. MEANING OF AN EMPLOYMENT CONTRACT…………………………………………... 36
.2.6.1 ASPECTS THAT SHOULD BE INCLUDED IN AN EMPLOYMENT CONTRACT… 36-37
2.6.2 LEGAL REQUIREMENTS OF THE EMPLOYMENT CONTRACT………………….. 37
2.6.3 REASONS FOR TERMINATING AN EMPLOYMENT CONTRACT………………… 37-38
2.7 INDUCTION……………………………………………………………………………….. 38
2.7.1 PURPOSE OF INDUCTION……………………………………………………………... 38
Page | 3
, 2.7.2 ASPECTS TO BE INCLUDED IN AN INDUCTION PROGRAMME…………………. 38-39
2.7.3 BENEFITS OF INDUCTION…………………………………………………………….. 39
2.8 PLACEMENT……………………………………………………………………………… 39
2.8.1 MEANING OF PLACEMENT…………………………………………………………….. 40
2.8.2 PLACEMENT PROCEDURE……………………………………………………………. 40
2.8.3 THE IMPORTANCE OF TRAINING/SKILLS DEVELOPMENT IN HRM…………… 40
2.9 SALARY DETERMINATION METHODS………………………………………………. 40
2.10 LINK BETWEEN SALARY DETERMINATION AND THE BCEA……………………. 40
2.11 FRINGE BENEFITS………………………………………………………………………. 41
2.11.1 EXAMPLES OF FRINGE BENEFITS IN THE WORKPLACE………………………. 41
2.11.2 IMPACT OF FRINGE BENEFITS ON BUSINESSES………………………………… 42
2.12 BENEFITS REQUIRED BY THE LAW/ COMPULSORY BENEFITS……………….. 43
2.13 IMPLICATIONS OF ACTS ON THE HUMAN RESOURCES FUNCTION…………. 44-46
CHAPTER 3: ETHICS AND PROFESSIONALISM 47
EXAMINATION GUIDELINES……………………………………………………………............. 47
TERMS AND DEFINITIONS………………………………………………………………………. 48
3.1. INTODUCTION AND MEANING OF ETHICAL BEHAVIOUR …………………………..,. 48
3.2. EXAMPLES OF ETHICAL AND UNETHICAL BUSINESS PRACTICE…………………. 49
3.3. MEANING OF PROFESSIONAL BEHAVIOUR ……………………………………………
50
3.4. EXAMPLES OF PROFESSIONAL AND UNPROFESSIONAL BUSINESS PRACTICE
3.5. DIFFERENCES BETWEEN ETHICAL BEHAVIOUR AND PROFESSIONAL 50
BEHAVIOUR …………………………………………………………………………………. 50
3.6. WAYS IN WHICH BUSINESSES CAN APPLY KING CODE PRINCIPLES FOR 51-52
GOOD CORPORATE GOVERNANCE ……………………………………………………..
3.7. WAYS IN WHICH PROFESSIONAL, RESPONSIBLE, ETHICAL AND EFFECTIVE
BUSINESS PRACTICE SHOULD BE CONDUCTED ……………………………………. 52-53
3.8. TYPES OF UNETHICAL BUSINESS PRACTICES AND EXAMPLES…………………. 53
3.9. CHALLENGES POSED BY THE ABOVE MENTIONED UNETHICAL BUSINESS
54-55
PRACTICE ……………………………………………………………………………………..
3.10. TYPE OF UNPROFESSIONAL BUSINESS PRACTICES AND EXAMPLES……… 56-57
3.11. CHALLENGES AND STRATEGIES TO DEAL WITH THE ABOVEMENTIONED
TYPES OF UNPROFESSIONAL BUSINESSES PRACTICES ……………………….. 58-60
CHAPTER 4: CREATIVE THINKING AND PROBLEM SOLVING 61
EXAMINATION GUIDELINES……………………………………………………………………. 61
TERMS AND DEFINITIONS………………………………………………………………………. 61
4.1. PROBLEM SOLVING…………………………………………………………………………. 62
4.1.1. MEANING OF PROBLEM SOLVING……………………………………………………… 62
4.1.2. MEANING OF DECISION MAKING……………………………………………………….. 62
4.1.3. DIFFERENCES BETWEEN DECISION MAKING AND PROBLEM SOLVING………. 62
4.1.4. PROBLEM SOLVING STEPS……………………………………………………………… 62-64
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