Business Management Flashcards
each partner has limited liability, protects partners from each other’s actions
Limited Liability Partnership
describe company, what it does, how it’s different
Mission Statement
company asset such as product line, division or another part of org is sold or disposed of; focus on core competencies or asset has greater value as standalone operation
Divestitures
Barriers to Entry
- Switching costs
- Capital requirements
- Access to distribution channels
- Product differentiation
- Economies of scale
structure meeting format designed to elicit participation from all members to arrive at best possible solution, consensus building
Nominal Group Technique
measures 2 variables to determine if there is a relationship bw them
Correlation
looks at individual units to reduce/eliminate redundancy or bureaucratic processes, reduce costs and increase production
Corporate Restructuring
corp purhcases or trades stock to gain controlling interest in another
Acquisition
Stakeholders
Government Owners Employees Suppliers Customers Community
statement of ideal standards that organization is committed to uphold in business practice
Code of Ethics
- struggle to obtain funding
- employees not fully qualified, base pay below market rate
- outsourcing for specialized functions
- employees work closely with founders/leaders
Organization Life Cycles: Startup
VUCA
Volatile/Visionary
Uncertainty/Understanding
Complex/Clarity
Ambiguous/Agility
large numbers of employees enter, difficult to assimilate, clash of operating styles
Workforce Expansion
horizontal networks connect people, and functions enhance creativity and communication
Seamless
moving production or service processes to other countries for cost savings
Offshoring
owned by small group of shareholders
Close Corporation
established for charity, education, religious, literary, scientific work, don’t pay taxes on profits
Nonprofit Corporations
exist for public good, taxed same as C Corp
B Corporation
describes relationship between two variables, number between -1.0 and +1.0
Correlation Coefficient
contracts internal business services to outside organizations that specialize in process
Outsourcing
- additional management personnel
- lose daily contact with leaders
- competitive comp/benefits
- exceed ability of infrastructure
- outsource some functions
Organization Life Cycles: Growth
separate from owners, profits belong to corporation, corp can be taxed and is liable
C Corporation
ties outcomes of each department together in one measurement system, tracks financial results, customer results and key internal processes
Balanced Scorecard
Porter’s Five Forces
- threat of Substitution
- rivalry among existing Competitors
- threat of entrants
- bargaining power of Buyers
- bargaining power of Suppliers
benchmark based on historic relationship of one variable to another
Ratios
looking at entire organization to simplify or eliminate unnecessary processes with goal of increasing customer satisfaction
Reengineering
suits businesses that have offices or units in different regions, reporting/functional system across multiple locations
Geographic Org Structure
measures relationship between several variables to forecast another
Multiple Linear Regression
compares changes in styles in single variable over time
Trend Analysis
separates organization into different departments, reporting delineated by department
Functional Org Structure
standards for conducting business
Corporate Value Statement
SWOT Analysis
Strengths (value proposition, competitive advantage)
Weaknesses (unethical practices, areas to address)
Opportunity (growth and dev, new technology)
Threats (obstacles/challenges)
influences and processes that impact the way a corporation is managed and relationship among stakeholders
Corporate Governance
- provide planning, standardize policies and procedures
- bureaucratic and unwieldly
- hire less experienced personnel and provide training
- enhanced comp and benefits
Organization Life Cycles: Maturity
parts of organization’s operations they do best and sets them apart from competition
Core Competencies
inspiring, what company will carry into future, what it will accomplish
Vision Statement
allow several possible plans to be tested in abstract form
Simulation Models
- inefficiency and bureaucracy
- implement workforce reductions
- products outdated and unable to compete
Organization Life Cycles: Decline
personal assets not separate from business, can be held liable for debts
Sole Proprietorship
PESTLE Analysis
Political (how political climate impacts business)
Economical (how market drivers impacts profit)
Social (customer lifestyles, how and where to advertise)
Technological (how tech supports company)
Legal (how new laws impact operations)
Environmental (how environment impacts business)
combines divisional and functional, multiple chains of command, temporary solely for product based work
Matrix Org Structure
employees must put interests of organization before their own, stand to gain personally from action taken by employer
Conflict of Interest Statement
statement of behaviors that organization expects from employees
Code of Conduct
obtains input from group in succeeding rounds of questions, results prioritized and return in form of additional questions until consensus reached
Delphi Technique
combines partnership and corporation, profits and losses are incurred by and taxed to members, owners personal assets are protected from bankruptcy or lawsuits made against
Limited Liability Company
measure historical data and provide basis for projecting future requirements
Time-Series Forecasts
2 or more orgs combine, leverage assets of both to more successful entity
Merger
passes profits and losses on to shareholders which they report on personal taxes
S Corporation
Dividing benefits realized as result of program by total related direct and indirect costs
Return on Investment
reduction in force, decrease expenses, short term improvement on net profits
Workforce Reduction
measures relationship between one variable against another
Simple Linear Regression
divides by product lines or geographic region
Divisional Org Structure
Prima Facie Violation
1) employee engaged in protected activity
2) employer knew or suspected ee was engaged in protected activity
3) employee suffered unfavorable employment action
4) contributing factor to unfavorable action was ee participation in protected activity
one person responsible for all liabilities, others have limited liability and control, profits recorded on each taxes
Limited Partnership
