Chapter 4 Flashcards
What has replaced human labor for many mechanical tasks?
Machines
This includes automation in various industries.
What types of tasks have computers replaced humans in?
Mental, intellectual tasks including data processing and information analysis
This shift has impacted the job market and required new skills from the workforce.
What kinds of tasks are humans still primarily used for?
Higher level intellectual tasks
These tasks require complex decision-making and creativity.
What technological developments must companies maintain to remain competitive?
- CAD (Computer Aided Design)
- CAM (Computer Aided Manufacturing)
These technologies enhance product design and manufacturing efficiency.
What is an example of a company that could not compete due to outdated technology?
Nokia
Nokia struggled to keep up with smartphone technology advancements.
Which two companies competed to achieve a technological lead in television development?
Sony and Toshiba
Their competition focused on advancements in flat-screen technology.
What has technology shifted from in terms of user interface?
Manual buttons to remote and then to touch screens
This evolution reflects advancements in user experience and interaction.
What major developments in business organization have resulted from technological change?
- Downsizing
- De-layering
- Outsourcing
- Restructuring
These strategies are often interrelated and impact workforce management.
What does downsizing mean in the context of a business organization?
Reduction in size of a business organization
It does not necessarily indicate a decrease in the volume of goods or services produced.
What enables downsizing in organizations?
Technological change
Automation allows tasks previously done by humans to be performed by machines.
What does de-layering involve?
Removing one or more levels of management
This can lead to a flatter organizational structure.
What could de-layering mean for middle management?
Removing all layers of middle management entirely
This leaves only senior managers and front-line managers.
What has made the virtual company possible?
Developments in IT technology
This includes advancements in telecommunications and the internet.
What is a key to a successful virtual organisation?
Successful management of external relationships
This includes coordination of activities and business contacts.
Define a Virtual Organisation.
An organisation that does not have identifiable physical existence
It lacks a headquarters, full-time employees, and a central location.
What is a potential problem with outsourcing?
Loss of control over outsourced activities
This can become significant when performance does not meet expectations.
What is critical in the relationship with suppliers of outsourced work?
The nature of the relationship
It becomes significant when issues arise.
What can provide a competitive advantage?
Concentrating on core competencies
This allows an entity to add value more effectively than rivals.
List reasons for outsourcing.
- Time saving
- Cost-effective
- Access to specialist skills
- Focus on core strengths
Many companies outsource routine tasks to improve efficiency.
What types of tasks do companies commonly outsource?
- IT requirements
- Office administration tasks
- Cleaning and security
This allows companies to concentrate on essential operations.
What is de-layering in an organization?
The process of making middle managers redundant
It often leads to downsizing and requires higher expectations from junior managers.
What enables de-layering in organizations?
High levels of trust and quality communications
This allows junior managers to meet responsibilities effectively.
Fill in the blank: Outsourcing is made much easier by _______.
[high-quality telecommunications and computer systems]
These technologies facilitate data and information flow between organizations.
What is the core competence of a large business selling branded footwear?
Its brand name
This is crucial for its market identity and customer recognition.
What might a company that produces motor cars outsource?
The manufacture of most component parts
This allows the company to focus on product design, assembly, and testing.
True or False: Outsourcing can lead to an organization carrying out all operations internally.
False
Outsourcing means carrying out operations through external entities.
What is the role of artificial intelligence in decision making?
Routine decision making is being aided by artificial intelligence
Artificial intelligence helps in solving frequently occurring problems and providing online assistance to customers.
How has artificial intelligence impacted business segments?
Artificial intelligence has shifted the paradigm across different business segments
Services are being provided with the help of artificial intelligence.
What type of data is used to take business decisions?
Big data sets are being used to take business decisions
These data sets are analyzed to reveal patterns and trends.
What are the characteristics of Big Data?
Extremely large data sets that are gathered and analyzed computationally
They reveal patterns, fashions, and associations relating to human behavior and interactions.
How has social media changed business models?
Social media has changed the business models by creating digital identities for personal and business entities
Traditional marketing and physical interactions have been affected.
What is the impact of online social media on decision making?
Online social media influences centralized decision making
It allows for real-time data availability.
What does restructuring in organizations involve?
Restructuring may be vertical and horizontal
Organizations merge functions, sections, and departments according to technological advancement.
What is the significance of managerial and financial analysis in organizations?
Managerial and financial analysis is crucial for effective decision making
It helps in assessing the performance and financial health of an organization.
