Chapters 3,4,5 Flashcards
What is a mission statement?
Communicates the organization’s reason for being, and how it aims to serve its key stakeholders
What is a vision statement?
A future-oriented declaration of the organization’s purpose and aspirations
What is a values statement?
States the organization’s values that might not be evident in the mission or vision statement
A _________ statement often integrates a summation of the firm’s values
mission
What is synergy?
the interaction of two or more activities, creating a combined effect greater than the sum of their individual efforts
What is stakeholder analysis?
the range of techniques or tools used to identify and understand the needs and expectations of major interests inside and outside of the organization
What are stakeholders?
Individuals and organizations who are actively involved in the organization or whose interests may be positively or negatively affected as a result of what the organization does.” - or - “Stakeholders are individuals or groups who have an interest in an organization’s goods and services
A __________ statement addresses what a firm wants to become
vision
What does POLC stand for?
planning, organizing, leading, controlling
What is diversification?
exists when an organization participates in multiple businesses that are in some way distinct from each other
Planning is associated with strategy ____________
formulation
Organizing, leading, and controlling are associated with strategy ____________
implementation
Examples of planning are
Vision and mission, strategizing, goals & objectives
Examples of organizing are
organization design, strategizing, social networks
Examples of leadership are
leadership, decision making, communications, groups/teams, motivation
Examples of controlling are
Systems/processes, strategic human resources
Examples of internal analysis tools
Value chain, VRIO
Examples of external analysis tools
PESTEL, Industry Analysis (5 forces)
Are strengths and weaknesses internal or external?
internal
Are opportunities and threats internal or external?
external
What is cost leadership? What business focuses on this?
A strategy to keep prices low by buying massive quantities of goods from suppliers. Walmart
What is focused cost leadership? What business focuses on this?
A strategy to keep prices low but does not have as much variety of goods. Dollar General.
What is differentiation? What business focuses on this?
A strategy to sell unique items and also provide. exceptional service. Nordstrom.
What is focused differentiation? What business focuses on this?
A strategy to sell unique and pricey items. Anthropologie.
What is a tangible resource?
Resources that can be readily seen, touched, and quantified.
What is an intangible resource?
Resources that have the knowledge and skills of employees, a firm’s reputation, and a firm’s culture.
What are capabilities?
Refer to what the organization can do.
What is a dynamic capability?
When a firm is skilled at continually updating its array of capabilities to keep pace with changes in its environment
What does PESTEL stand for?
Political
Economic
Social
Technical
Environmental
Legal
What are goals?
Outcome statements that define what an organization is trying to accomplish
What are objectives?
Very precise, time-based, and measurable actions that support the completion of a goal
What is management by objectives (MBO)? Who invented it?
A systematic and organized approach that aims to increase organizational performance. Peter Drucker
The balanced scorecard focuses on what four types of measures?
Customers, Learning and growth, Internal process, and financial performance
