Chpt 7 Flashcards
Productivity
is when you are performing a function that adds value to the company.
strategy
outlines major goals and objectives that serve as its road map for success.
strategic plan
is a formal document that identifies how the company will secure, organize, utilize, and monitor its resources.
directional statements.
ogether, the company’s mission, vision, and values statements constitute the organization’s directional statements. Directional statements create the foundation for why the company exists and how it will operate.
mission statement
A company’s mission statement is its statement of purpose. It identifies why each employee comes to work.
vision statement
it determines where it wants to be in the future. This is called a vision statement. A company’s vision statement is its viable view of the future.
Values statement
defines what is important to and what the priorities are for the company.
a goal
is a target
An objective
identifies specific activities that support a goal. Objectives are sometimes referred to as short-term goals.
organizational structure.
The way a company is organized is called its
organizational chart
he graphic visual display of this structure is called the company organizational chart. This chart not only identifies key functions within the company, but also shows the formal lines of authority for employees.
chain of command
These formal lines of authority are also referred to as the chain of command. The chain of command identifies who reports to whom within the company.
president or chief executive officer (CEO).
The president or CEO implements company strategy and reports to the company board of directors.
Board of directors
board of directors. This group of individuals is responsible for developing the company’s overall strategy and major policies. The company’s board of directors is elected by shareholders or investors. Smaller companies may not have such a formal structure and/or
Sr. Mgrs or Dir
Senior managers or executives typically have the title of vice president or chief executive. These individuals work with the president in identifying and implementing strategic issues, which deal directly with the creation and implementation of the company strategy. Strategic issues typically range from three to five years, but could be longer.
Middle managers
typically have the title of director or manager. These individuals work on tactical issues, which identify how to link the strategy into the reality of day-to-day operations. The time line for tactical issues is typically one to three years.
Operations managers
, typically called supervisors and assistant managers, work on operational issues, which are issues that occur on a daily basis and are no longer than one year. As you begin to develop your career, you may have the opportunity to
Supervisors
are first-line managers. Although supervisors primarily concern themselves with operational issues, successful employees and supervisors understand the bigger picture of the company’s overall tactics and strategy.
divisions
As displayed in a typical organizational chart, companies are usually arranged by major functions. These major functions are frequently referred to as divisions
departments.
Within these divisions are departments. The departments are subdivisions responsible for carrying out specific tasks of their division.
finance and accounting
The area is responsible for the securing, distribution, and growth of the company’s financial assets. Any invoices, incoming cash, or checks must be recorded through the accounting department. The accounting department will work with the human resource area on payroll issues regarding your paycheck.
A capital budget
is used for long-term investments, including land and large pieces of equipment.
operational budget
An operational budget is used for short-term items including payroll and the day-to-day costs associated with running a business. Because the primary purpose of every company is to make a profit, you as an employee are accountable for how you utilize the company’s financial resources.
human resource
The area is responsible for recruiting, hiring, training, evaluating, compensating, promoting, and terminating employees.
operations
The function deals with the production and distribution of the company’s product. It is the core of the business.
information systems (IS)
The area deals with the electronic management of information within the organization.
Marketing
is responsible for creating, pricing, selling, distributing, and promoting the company’s product.
legal counsel
The company’s handles all legal matters relating to the business.
Product
All companies offer or sell a product. A product is what is produced by a company. Products come in the form of goods and services.
good
A is a tangible item, something that you can physically see or touch. Appliances, toys, or equipment are examples of tangible products.
service
A is an intangible product.
Quality
is a predetermined standard that defines how a product is to be provided.
value,
Customers are loyal to a company and its products when they receive value, which means customers believe they received a good deal for the price they paid. Providing a quality product at a reasonable price (value) requires an ongoing company-wide effort
Creativity
is coming up with a new and unique item, service, or system.
Innovation
is the process of turning a creative idea into reality. Continually identify new uses and applications for items and/or situations and then act on those new ideas.
Customer service
is the treatment an employee provides the customer.
Internal customers
are employees within a company.
External customers
are individuals outside of the company.
