CORPORATE OBJ & STARTEGIC DESCISIONS Flashcards
CORP OBJ
Medium to LT goals set to coordinate the bs
Startegic descison
judgements made by senior managers that are LT
Strategic descisons involve
msjor commitment of resources
as startegic descison involve major commitment of resources they are what to reverse
difficult ot reverse
once mission statment estabkished firm can set its
corp obj
why are corp obj sometimes referred to as strategic obj
turn mission statement into something more quanitfiable
objectives set out clearly
what has to be achieved
objectives are frequently
qunatified
objectives have a stated
time scale
give example of corp obj
increase MKT SHARE by 15% in 2 years
why is it not always true that corp obj always quanitified
Some like social repsonsibilty not easy to measure
corp obj relate to x as oppposed to x
whole bs
specific functions e.g finance
corp obj are more general and set out by
senior managers within the org
junior managers more responsible for SETTING
obj lower down The org structure
and functional obj
what do corp obj do for maangers
provide guidace
describe range of corp obj that bs pursue
wide
what were the 8 areas9Argued by Drucker of business activity that exist that bs can set corp obj
Market Position
Innovaiton
Financial Resources
Phsyical Resources
Human Resources
Productivity
Social Responsibility
Profits
market position corp obj can be about
2 marks
growth rate for sales in a mkt
share of sales in exisitng.new mkt
innovation refers to
2 THINGS
invention and development of new goods and services
new processes and methods of producing and supplying products
financial resource obj could relate to AMOUNT OF
capital available to a bs and how this may be used
phsycial resources refers to
5 marks
land
buildings
equipment
tech resources
available to bs
human resources corp obj may relate to
2 MARKS
motivation
engagment
among employees
Productivity corp obj realte to
efficient use of resources to gain max output from minimal inputs
social repsonsibliyt is an area which
setting obj has become more common
whu os social rsponsibility an ara which settin obj become more common
budiness responded more fully and openly to stkh needs
Profit obj could relat eto waht 2 areas
overall level of profit
profit measured against other factos such as revenue
oxfam set itself tange of corp obj to be achieved by 2019 . One aim is ot promote development of sustainable food supplies give one example (woen)
more rurual women living in poverty are econmically empowered an able to infleunce descisiosn that affect them
a descison invovles
specific commitment ot an action
