BUS230 - Test #1 Study Flashcards
getting work done through others
management
getting work down with a minimum of effort, expense, or waste
efficiency
accomplishing tasks that help fulfill organizational objectives
effectiveness
5 Managerial Functions to be Successful:
Planning, Organizing, Coordinating, Commanding, and Controlling
determining organizational goals and a means for achieving them
planning
deciding where decisions will be made, who will do what jobs and tasks, and who will work for whom
organizing
inspiring and motivating workers to work hard to achieve organizational goals
leading
monitoring progress toward goal achievement and taking corrective action when needed
controlling
executives responsible for the overall direction of the organization
top managers
responsible for setting objectives consistent with top management’s goals and for planning and implementing subunit strategies for achieving these objectives
middle managers
responsible for training and supervising the performance of nonmanagerial employees who are directly responsible for producing the company’s products or services
first-line managers
managers responsible for facilitating team activities toward goal accomplishment
team leaders
the interpersonal role managers play when they perform ceremonial duties
figurehead role
the interpersonal role managers play when they motivate and encourage workers to accomplish organizational objectives
leader role
the interpersonal role managers play when they deal with people outside their units
liaison role
the informational role managers play when they scan their environment for information
monitor role
the informational role managers play when they share information with others in their departments or companies
disseminator role
the informational role managers play when they share information with people outside their departments or companies
spokesperson role
the decisional role managers play when they adapt themselves, their subordinates, and their units to change
entrepreneur role
the decisional role managers play when they respond to severe pressures and problems that demand immediate action
disturbance handler role
the decisional role managers play when they decide who gets what resources and in what amounts
resource allocator role
the decisional role managers play when they negotiate schedules, projects, goals, outcomes, resources, and employee raises
negotiator role
4 types of management skills
technical, human, conceptual, and motivation to manage
the specialized procedures, techniques, and knowledge required to get the job done
technical skills
the ability to work well with others
human skills
the ability to see the organization as a whole, understand how the different parts affect each other, and recognize how the company fits into or is affected by its environment
conceptual skills
an assessment of how enthusiastic employees are about managing the work of others
motivation to manage
6 steps to become a successful manager
- define your own job clearly
- define your group’s output
- seek momentary clarity rather than permanent answers
- become an expert in defining and communicating expectations
- keep talking about output
- keep at it
thoroughly studying and testing different work methods to identify the best, most efficient way to complete a job
scientific management
when workers deliberately slow their pace or restrict their work output
soldiering
a group member whose work pace is significantly faster than the normal pace in his or her group
rate buster
breaking each task or job into its separate motions and then eliminating those that are unnecessary or repetitive
motion study
timing how long it takes good workers to complete each part of their jobs
time study
a graphical chart that shows which tasks must be completed at which times in order to complete a project or task
gantt chart
the exercise of control on the basis of knowledge, expertise, or experience
bureaucracy
an approach to dealing with conflict in which one party satisfies its desires and objectives at the expense of the other party’s desires and objectives
domination
an approach to dealing with conflict in which both parties give up some of what they want in order to reach an agreement on a plan to reduce or settle the conflict
compromise
an approach to dealing with conflict in which both parties indicate their preferences and then work together to find an alternative that meets the needs of both
integrative conflict resolution
a system of consciously coordinated activities or forces created by two or more people
organization
a set of interrelated elements or parts that function as a whole
system
smaller systems that operate within the context of a larger system
subsystems
when two or more subsystems working together can produce more than they can working apart
synergy
systems that can sustain themselves without interacting with their environments
closed systems
systems that can sustain themselves only by interacting with their environments, on which they depend for their survival
open systems
holds that there are no universal management theories and that the most effective management theory or idea depends on the kinds of problems or situations that managers are facing at a particular time and place
contingency approach
the events and trends inside an organization that affect management, employees, and organizational culture
internal environment
the values, beliefs, and attitudes shared by organizational members
organizational culture
stories told by organizational members to make sense of organizational events and changes and to emphasize culturally consistent assumptions, decisions, and actions
organizational studies
people celebrated for their qualities and achievements within an organization
organizational heroes
gatherings in which symbolic acts commemorate or celebrate notable achievements or changes
organizational ceremonies
a company’s purpose or reason for existing
company mission
a company culture in which the company actively defines and teaches organizational values, beliefs, and attitudes
consistent organizational cultures
the process of having managers and employees perform new behaviors that are central to and symbolic of the new organizational culture that a company wants to create
behavioral addition
the process of having managers and employees perform new behaviors central to the new organizational culture in place of behaviors that were central to the old organizational culture
behavioral substitution
visible signs of an organization’s culture, such as the office design and layout, company dress code, and company benefits and perks, such as stock options, personal parking spaces, or the private company dining room
visible artifacts
the set of moral principles or values that defines right and wrong for a person or group
ethics
behavior that conforms to a society’s accepted principles of right and wrong
ethical behavior
unethical behavior that violates organizational norms about right and wrong
workplace deviance
unethical behavior that hurts the quality and quantity of work produced
production deviance
unethical behavior aimed at the organization’s property or products
property deviance
employee theft of company merchandise
employee shrinkage
using one’s influence to harm others in the company
political deviance
hostile or aggressive behavior toward others
personal aggression
the degree of concern people have about an ethical issue
ethical intensity
the total harm or benefit derived from an ethical decision
magnitude of consequences
agreement on whether behavior is bad or good
social consensus
the chance that something will happen that results in harm to others
probability of effect
the time between an act and the consequences the act produces
temporal immediacy
the social, psychological, cultural, or physical distance between a decision maker and those affected by his or her decisions
proximity of effect
the total harm or benefit that an act produces on the average person
concentration of effect
the first level of moral development, in which people make decisions based on selfish reasons
preconventional level of moral development
the second level of moral development, in which people make decisions that conform to societal expectation
conventional level of moral development
the third level of moral development, in which people make decisions based on internalized principles
post conventional level of moral development
an ethical principle that holds that you should never take any action that is not in your or your organization’s long-term self-interest
principal of long-term self-interest
an ethical principle that holds that you should never take any action that is not kind and that does not build a sense of community
principle of religious injunctions
an ethical principle that holds that you should never take any action that violates the law, for the law represents the minimal moral standard
principle of government requirements
an ethical principle that holds that you should never take any action that infringes on others’ agreed-upon rights
principle of individual rights
an ethical principle that holds that you should never do anything that is not honest, open, and truthful and that you would not be glad to see reported in the newspapers or on TV
principle of personal future
an ethical principle that holds that you should never take any action that harms the least fortunate among us: the poor, the uneducated, the unemployed
principle of distributive justice
an ethical principle that holds that you should never take any action that does not result in greater good for society
principle of utilitarian benefits
a written test that estimates job applicants’ honesty by directly asking them what they think or feel about theft or about punishment of unethical behaviors
overt integrity test
a written test that indirectly estimates job applicants’ honesty by measuring psychological traits, such as dependability and conscientiousness
personality based integrity tests
reporting others’ ethics violations to management or legal authorities
whistleblowing
a business’s obligation to pursue policies, make decisions, and take actions that benefit society
social responsibility
a view of social responsibility that holds that an organization’s overriding goal should be profit maximization for the benefit of shareholders
shareholder model
persons or groups with a stake, or legitimate interest, in a company’s actions
stakeholders
a theory of corporate responsibility that holds that management’s most important responsibility, long-term survival, is achieved by satisfying the interests of multiple corporate stakeholders
stakeholder model
any group on which an organization relies for its long-term survival
primary stakeholders
any group that can influence or be influenced by a company and can affect public perceptions about the company’s socially responsible behavior
secondary stakeholders
a company’s social responsibility to make a profit by producing a valued product or service
economic responsibility
a company’s social responsibility to obey society’s laws and regulations
legal responsibility
a company’s social responsibility not to violate accepted principles of right and wrong when conducting its business
ethical responsibility
the social roles that a company fulfills beyond its economic, legal, and ethical responsibilities
discretionary responsibilities
a company’s strategy to respond to stakeholders’ economic, legal, ethical, or discretionary expectations concerning social responsibility
social responsiveness
a social responsiveness strategy in which a company does less than society expects
reactive strategy
a social responsiveness strategy in which a company admits responsibility for a problem but does the least required to meet societal expectations
defensive strategy
a social responsiveness strategy in which a company accepts responsibility for a problem and does all that society expects to solve that problem
accommodative strategy
a social responsiveness strategy in which a company anticipates a problem before it occurs and does more than society expects to take responsibility for and address the problem
proactive strategy
choosing a goal and developing a strategy to achieve that goal
planning
goals that are specific, measurable, attainable, realistic, and timely
SMART goals
the determination to achieve a goal
goal commitment
a plan that lists the specific steps, people, resources, and time period needed to attain a goal
action plan
short-term goals or subgoals
proximal goals
long-term or primary goals
distal goals
maintaining planning flexibility by making small, simultaneous investments in many alternative plans
options-based planning
a cushion of extra resources that can be used with options-based planning to adapt to unanticipated changes, problems, or opportunities
slack resources
overall company plans that clarify how the company will serve customers and position itself against competitors over the next two to five years
strategic plans
a statement of a company’s purpose or reason for existing
purpose statement
a more specific goal that unifies company-wide efforts, stretches and challenges the organization, and possesses a finish line and a time frame
strategic objective
a four-step process in which managers and employees discuss and select goals, develop tactical plans, and meet regularly to review progress toward goal accomplishment
management by objectives
plans created and implemented by middle managers that direct behavior, efforts, and attention over the next six months to two years
tactical plans
day-to-day plans, developed and implemented by lower-level managers, for producing or delivering the organization’s products and services over a 30-day to six-month period
operational plans
plans that cover unique, onetime-only events
single-use plans
standing plans that indicate the general course of action that should be taken in response to a particular event or situation
policies
standing plans that indicate the specific steps that should be taken in response to a particular event
procedures
standing plans that describe how a particular action should be performed or what must happen or not happen in response to a particular event
rules and regulations
quantitative planning through which managers decide how to allocate available money to best accomplish company goals
budgeting
the process of choosing a solution from available alternatives
decision making
a systematic process of defining problems, evaluating alternatives, and choosing optimal solutions
rational decision making
a gap between a desired state and an existing state
problem
the standards used to guide judgments and decisions
decision criteria
a process in which each decision criterion is compared to a standard or ranked on its own merits
absolute comparisons
a process in which each decision criterion is compared directly with every other criterion
relative comparisons
choosing the best alternative
maximize
choosing a “good-enough” alternative
satisfying
a barrier to good decision-making caused by pressure within the group for members to agree with each other
groupthink
disagreement that focuses on problem- and issue-related differences of opinion
c-type conflict (cognitive)
disagreement that focuses on individuals or personal issues
a-type conflict (affective)
a decision-making method in which an individual or a subgroup is assigned the role of critic
devil’s advocate
a decision-making method in which decision makers state the assumptions of a proposed solution (a thesis) and generate a solution that is the opposite (antithesis) of that solution
dialectical inquiry
a decision-making method that begins and ends by having group members quietly write down and evaluate ideas to be shared with the group
nominal group technique
a decision-making method in which members of a panel of experts respond to questions and to each other until reaching agreement on an issue
Delphi technique
a decision-making method in which group members build on each others’ ideas to generate as many alternative solutions as possible
brainstorming
a decision-making method in which group members use computers to build on each others’ ideas and generate as many alternative solutions as possible
electronic brainstorming
a disadvantage of face-to-face brainstorming in which a group member must wait to share an idea because another member is presenting an idea
production blocking
fear of what others will think of your ideas
evaluation apprehension
the assets, capabilities, processes, employee time, information, and knowledge that an organization uses to improve its effectiveness and efficiency and create and sustain competitive advantage
resources
providing greater value for customers than competitors can
competitive advantage
a competitive advantage that other companies have tried unsuccessfully to duplicate and have, for the moment, stopped trying to duplicate
sustainable competitive advantage
a resource that allows companies to improve efficiency and effectiveness
valuable resource
a resource that is not controlled or possessed by many competing firms
rare resource
a reluctance to change strategies or competitive practices that have been successful in the past
competitive intertia
a resource that is impossible or extremely costly or difficult for other firms to duplicate
imperfectly imitable resource
a resource that produces value or competitive advantage and has no equivalent substitutes or replacements
nonsubstitutable resource
a discrepancy between a company’s intended strategy and the strategic actions managers take when implementing that strategy.
strategic dissonance
an assessment of the strengths and weaknesses in an organization’s internal environment and the opportunities and threats in its external environment
Situational (SWOT) analysis
what a company can make, do, or perform better than its competitors
distinctive competence
a committee within a company that analyzes the company’s own weaknesses to determine how competitors could exploit them for competitive advantage
shadow-strategy task force
the internal decision-making routines, problem-solving processes, and organizational cultures that determine how efficiently inputs can be turned into outputs
core capabilities
the central companies in a strategic group
core firms
a group of companies within an industry against which top managers compare, evaluate, and benchmark strategic threats and opportunities
strategic group
the firms in a strategic group that follow strategies related to but somewhat different from those of the core firms
secondary firms
the overall organizational strategy that addresses the question “What business or businesses are we in or should we be in?”
corporate level strategy
the strategic targets managers use to measure whether a firm has developed the core competencies it needs to achieve a sustainable competitive advantage
strategic reference points
a corporate-level strategy that minimizes risk by diversifying investment among various businesses or product lines
portfolio strategy
creating or acquiring companies in completely unrelated businesses
unrelatied diversification
the purchase of a company by another company
acquisition
a portfolio strategy developed by the Boston Consulting Group that categorizes a corporation’s businesses by growth rate and relative market share and helps managers decide how to invest corporate funds
BCG Matrix
a company with a large share of a fast-growing market
star
a company with a small share of a fast-growing market
question mark
a company with a large share of a slow-growing market
cash cow
a company with a small share of a slow-growing market
dog
a broad corporate-level strategic plan used to achieve strategic goals and guide the strategic alternatives that managers of individual businesses or subunits may use
grand strategy
a strategy that focuses on increasing profits, revenues, market share, or the number of places in which the company does business
growth strategy
creating or acquiring companies that share similar products, manufacturing, marketing, technology, or cultures
related diversification
a strategy that focuses on improving the way in which the company sells the same products or services to the same customers
stability strategy
a strategy that focuses on turning around very poor company performance by shrinking the size or scope of the business
retrenchment strategy
the strategic actions taken after retrenchment to return to a growth strategy
recovery
a corporate strategy that addresses the question, “How should we compete in this industry?”
industry-level strategy
a measure of the intensity of competitive behavior between companies in an industry
character of the rivarly
a measure of the degree to which barriers to entry make it easy or difficult for new companies to get started in an industry
threat of new entrants
a measure of the ease with which customers can find substitutes for an industry’s products or services
threat of sub products or services
a measure of the influence that suppliers of parts, materials, and services to firms in an industry have on the prices of these inputs
bargaining power of suppliers
a measure of the influence that customers have on a firm’s prices
bargaining power of buys
the positioning strategy of producing a product or service of acceptable quality at consistently lower production costs than competitors can, so that the firm can offer the product or service at the lowest price in the industry
cost leadership
the positioning strategy of using cost leadership or differentiation to produce a specialized product or service for a limited, specially targeted group of customers in a particular geographic region or market segment
focus strategy
the positioning strategy of providing a product or service that is sufficiently different from competitors’ offerings that customers are willing to pay a premium price for it
differentiation
companies using an adaptive strategy aimed at defending strategic positions by seeking moderate, steady growth and by offering a limited range of high-quality products and services to a well-defined set of customers
defenders
companies using an adaptive strategy that seeks fast growth by searching for new market opportunities, encouraging risk taking, and being the first to bring innovative new products to market
prospectors
companies using an adaptive strategy that seeks to minimize risk and maximize profits by following or imitating the proven successes of prospectors
analyzers
companies that do not follow a consistent adaptive strategy but instead react to changes in the external environment after they occur
reactors
a corporate strategy that addresses the question, “How should we compete against a particular firm?”
firm-level strategy
the rivalry between two companies that offer similar products and services, acknowledge each other as rivals, and act and react to each other’s strategic actions
direct competition
the degree to which two companies have overlapping products, services, or customers in multiple markets
market commonality
the extent to which a competitor has similar amounts and kinds of resources
resource similarity
a competitive move designed to reduce a rival’s market share or profits
attack
a competitive countermove, prompted by a rival’s attack, to defend or improve a company’s market share or profit
response
forces that produce differences in the form, quality, or condition of an organization over time
change forces
forces that support the existing conditions in organizations
resistance forces
getting the people affected by change to believe that change is needed
unfreezing
opposition to change resulting from self-interest, misunderstanding and distrust, and a general intolerance for change
resistance to change
the process used to get workers and managers to change their behaviors and work practices
change intervention
the use of formal power and authority to force others to change
coercion
supporting and reinforcing new changes so that they stick
refreezing
using daily standups, or “huddles,” to review the progress of multidisciplinary teams or “Scrums,” who break problems into small, clearly defined parts that team members work on in sprints
agile change
change created quickly by focusing on the measurement and improvement of results
results-driven change
quickly experimenting with new ideas to solve customer problems and learn from repeated tests and improvements
General Electrics Fastworks
a philosophy and collection of planned change interventions designed to improve an organization’s long-term health and performance
organizational development
an agreement in which a domestic company, the licensor, receives royalty payments for allowing another company, the licensee, to produce the licensor’s product, sell its service, or use its brand name in a specified foreign market
licensing
the person formally in charge of guiding a change effort
change agent
modifying rules, guidelines, policies, and procedures to adapt to differences in foreign customers, governments, and regulatory agencies
local adaptation
when a multinational company has offices, manufacturing plants, and distribution facilities in different countries and runs them all using the same rules, guidelines, policies, and procedures
global consistency
selling domestically produced products to customers in foreign countries
exporting
selling domestically produced products to customers in foreign countries
cooperative contract
a collection of networked firms in which the manufacturer or marketer of a product or service, the franchisor, licenses the entire business to another person or organization, the franchisee
franchise
an agreement in which companies combine key resources, costs, risks, technology, and people
strategic alliance
foreign offices, facilities, and manufacturing plants that are 100 percent owned by the parent company
wholly owned affiliates
new companies that are founded with an active global strategy and have sales, employees, and financing in different countries
globally new ventures
the set of shared values and beliefs that affects the perceptions, decisions, and behavior of the people from a particular country
national culture
