external business Flashcards
what is a business?
A business is the organised effort of individuals to produce and provide goods and services to meet the needs of society.
We view business as a broad concept, incorporating profit-making concerns such as manufacturing firms and banks, and non-profit-making or not-for-profit concerns such as schools, hospitals and charities.
what is a strategy?
The nature of management and leadership
The formulation of a set of objectives and the means of achieving those objectives
Issues of ethics and corporate social responsibility
what is an organisation?
An organisation refers to the way in which people are grouped and the way in which they operate to carry out the activities of the business. We define the key elements of the organisation as the goals of the business and the way they are formulated, ownership and control, size, structure and organisational culture.
what is the systems approach?
The systems approach is a view of business involving two related concepts. First, businesses are made up of a series of interactions, involving business activities, the various aspects of the organisation, and aspects of the environment. What we identify as a business is the sum total of all these influences and interactions. Second, the systems approach views business as a series of inputs from the environment, internal processes and eventual outputs.
what is the contingency approach?
The contingency approach focuses on the relationship between the organisation and its environment. It embraces the notion that business activities and the way they are organised are products of the environment in which they operate. The most successful businesses are therefore those that are organised to take advantage of the prevail-ing environmental influences. The contingency approach can be traced through the work of Woodward (1965) andBurns and Stalker (1966), although the term itself was popularised in the work of Lawrence and Lorsch who wrote:
Organisational variables are in a complex interrelationship with one another and with conditions in the environment. If an organisation’s internal states and processes are consistent with external demands . . . it will be effective in dealing with the environment
legitimate power
the type of power a manager, executive or another leading official in a company has due to the status of their position
referent power
leaders who influence others through referent power have gained the respect and admiration of the people around them
information power
when one gains information power when they know something other people don’t.
information power, however, is short-term and does little to build credibility.
once you release the information, you are no longer needed.
even when you have no legitimate power, you can use information power.
expert power
people who have more knowledge or experience than other members of their team exhibit expert power.
expert power is particularly important when the knowledge that you have is perceived as valuable.
like information power, expert power gives you influence
reward power
a leader who has the ability to reward an employee or team member for compliance has reward power.
rewards work best when they are appealing to all participants, for example, a raise or bonus, a promotion, time off or other perks.
typically, this positive reinforcement is given for meeting a pre-defined objective
coercive power
coercion uses the power of fear- the fear of losing one’s job or missing out on a raise or bonus.
the very idea of coercion is anathema to many leaders.
but coercive power can be both direct and indirect.
direct coercive power is explicit and deliberate.
indirect coercive power, however, is assumed.
employees may believe they will be punished, for example by having a bonus withheld, if they report unsafe conditions in the workplace.
charismatic power
similarly, charismatic leaders have the ability to influence others.
while they may or may not have any actual authority, charismatic leaders usually have a natural ability to persuade or inspire.
charisma relies on charm and personal qualities that others find attractive.
moral power
a leader who has moral power is one that inspires action based on a strongly held set of values and beliefs.
when you are a moral leader, you strive to do what you say you will do.
they are strongly principled and hold themselves to a high standard.
what is management innovation?
management innovation is innovation that is related to management and organisation processes and practices.
management innovation changes the way managers do what they do and does so in a way that enhances organisational performance.
management has not only the role of an innovation promoter in organisations, but also a strategic function.
they decide on the innovation strategy, release ideas for implementation, determine their goals and decide on the next steps in the gates of the innovation processes.
it refers to product, business process, marketing and organisational innovation.
what are the key characteristics and traits that seem to make an entrepreneur creative?
passion for an idea
see out of the box
risk taker
visionary
have a passion for learning
self confidence
self promote
good at networking- to promote and sell their idea
hard working and dedicated
competitive and determined to see it through
