Second Test Flashcards
management
process of planning, organizing, leading, and controlling an organization’s resources to achieve its goals
planning
management process of determining that an organization needs to do and how best to get it done
organizing
management process of determining how best to arrange an organization’s resources and activities into a coherent structure
leading
management process of guiding and motivating employees to meet an organization;s objectives
controlling
management process of monitoring an organization’s performance to ensure that it is meeting its goals
top manager
manager responsible for a firm’s overall performance and effectiveness
middle manager
manager responsible for implementing the strategies and working toward the goals set by top managers
first-line manager
manager responsible for supervising the work of employees
human resource managers
hire and train employees, evaluate performance, and determine compensation
operations managers
responsible for production, inventory, and quality control
marketing managers
responsible for getting products from producers to consumers
information managers
design and implement systems to gather, organize, and distribute information
financial managers
plan and oversee accounting functions and financial resources
interpersonal roles
a category of managerial roles including figurehead, leader, and liasion
informational roles
a category of managerial roles including monitor, disseminator, and spokesperson
decisional roles
a category of managerial roles including entrepreneur, disturbance handler, resource allocator, and negotiator
technical skills
skills needed to perform specialized tasks
human relations skills
skills in understanding and getting along with people
conceptual skills
abilities to think in the abstract, diagnose and analyze different situations, and see beyond the present situation
decision-making skills
skills in defining problems and selecting the best courses of action
time management skills
skills associated with the productive use of time
What are the four leading causes of wasted time?
Paperwork, phone calls, meetings, e-mail
global management skills
Managers will need to understand foreign markets, cultural differences, and the motives and practices of foreign rivals. Managers will also need to understand how to collaborate with others around the world on a real-time basis.
management and technology skills
new forms of technology have added to a manager’s ability to process information while simultaneously making it even more important to organize and interpret an ever-increasing wealth input
strategy
broad set of organizational plans for implementing the decisions made for achieving organizational goals
strategic movement
process of helping an organization maintain an effective alignment with its environment
goals
the means by which organizations and their managers measure success or failure at every level; objective that a business hopes and plans to achieve
What are the purposes of goal setting?
provides direction and guidance for managers at all levels; helps firms allocate resources; helps to define corporate culture; helps managers assess performance
mission statement
organization’s statement of how it will achieve its purpose in the environment in which it conducts its business
long-term goal
goal set for an extended time, typically five or more years into the future
intermediate goal
goal set for a period of one to five years into the future
short-term goal
goal set for the very near future
corporate strategy
strategy for determining the firm’s overall attitude toward growth and the way it will manage its businesses or product lines
business (or competitive) strategy
strategy, at the business-unit or product-line level, focusing on improving a firm’s competitive position
functional strategy
strategy by which managers in specific areas decide how best to achieve corporate goals through productivity
What does SWOT stand for?
Strengths, weaknesses, opportunities, threats
environmental analysis
process of scanning the business environment for threats and opportunities
organizational analysis
process of analyzing a firm’s strengths and weaknesses
strategic plan
plan reflecting decisions about resource allocations, company priorities, and steps needed to meet strategic goals
tactical plan
generally short-term plan concerned with implementing specific aspects of a company’s strategic plans
operational plan
plan setting short-term targets for daily, weekly, or monthly performance
contingency planning
identifying aspects of a business or its environment that might entail changes in strategy
crisis management
organization’s methods for dealing with emergencies
corporate culture
the shared experiences, stories, beliefs, and norms that characterize an organization; helps define the work and business climate that exists in an organization
What are the three stages of managing change
- At the highest level, analysis of the company’s environment highlights extensive change as the most effective response to its problems 2. Top management begins to formulate a vision of a new company 3. The firm sets up new systems for appraising and compensating employees who enforce the firm’s new values
organizational structure
specification of the jobs to be done within an organization and the ways in which they relate to each other
organization chart
diagram depicting a company’s structure and showing employees where they fit into its operations
chain of command
reporting relationships within a company
What are the determinants of organizational structure?
Mission, strategy, size, internal environment, external environment
specialization
determining who will do what
departmentalization
determining how people performing certain tasks can best be groped together
job specialization
the process of identifying the specific jobs that need to be done and designating the people who will perform them
profit center
separate company unit responsible for its own costs and profits
functional departmentalization
dividing an organization according to groups’ functions or activities
product departmentalization
dividing an organization according to specific products or services being created
process departmentalization
dividing an organization according to production processes used to create a good or service
customer departmentalization
dividing an organization to offer products and meet needs for identifiable customer groups
geographic departmentalization
dividing an organization according to the areas of the country or the world served by a business
centralized organization
organization in which most decision-making authority is held by upper-level management
decentralized organization
organization in which a great deal of decision-making authority is delegated to levels of management at points below the top
flat organizational structure
characteristic of decentralized companies with relatively few layers of management
tall organizational structure
characteristic of centralized companies with multiple layers of management
span of control
number of people supervised by one manager
delegation
process through which a manager allocates work to subordinates
What are the three steps of delegation?
- Assigning responsibility 2. Granting authority 3. Creating accountability
line authority
organizational structure in which authority flows in a direct chain of command from the top of the company to the bottom
staff authority
authority based on expertise that usually involves counseling and advising line managers
staff members
advisers and counselors who help line departments in making decisions but who do not have the authority to make final decisions
committee and team authority
authority granted to committees or teams involved in a firm’s daily operations
work team
groups of operating employees who are empowered to plan and organize their own work and perform that work with a minimum of supervision
functional structure
organization structure in which authority is determined by the relationships between group functions and activities
divisional structure
organization structure in which corporate divisions operate as autonomous businesses under the large corporate umbrella
matrix structure
organizational structure created by superimposing one form of structure onto another
international organizational structures
approaches to organizational structure developed in response to the need to manufacture, purchase, and sell in global markets
team organization
relies almost exclusively on project-type teams, with little or no underlying functional hierarchy
learning organization
works to facilitate the lifelong learning and personal development of all of its employees while continually transforming itself to respond to changing demands and needs
virtual organization
has little or no formal structure; has only a handful of permanent employees, a very small staff, and a modest administrative facility
informal organization
network, unrelated to the firm’s formal authority structure, of everyday social interactions among company employees
informal groups
groups of people who decide to interact among themselves
grapevine
informal communication network that runs through an organization
intrapreneuring
process of creating and maintaining the innovation and flexibility of a small-business environment withing the confines of a large organization
operations (production)
activities involved in making products (goods and services) for customers note: operations and production are interchangable
service operations
activities producing intangible and tangible products, such as entertainment, transportation, and education
goods operations
activities producing tangible products, such as radios, newspapers, buses, and textbooks
utility
product’s ability to satisfy a human want or need
operations management
systematic direction and control of the activities that transform resources into finished products that create value for and provide benefits to customers
operations managers
managers responsible for ensuring that operations activities create value and provide benefits to customers
operations process
set of methods and technologies used to produce a good or service
make-to-order operations
activities for one-of-a-kind or custom-made production
make-to-stock operations
activities for producing standardized products for mass consumption
low-contact system
level of customer contact in which the customer need not be part of the system to receive the service
high-contact system
level of customer contact in which the customer is part of the system during service delivery
operations capability
special ability that production does especially well to outperform the competition
capacity planning
determining the amount of a product that a company can produce under normal conditions
location planning
determining where production will happen based on costs and flexibility
layout planning
planning for the layout of machinery, equipment, and supplies
capacity
amount of a product that a company can produce under normal conditions
capacity planning
determining that amount of a product that a company can produce under normal conditions
(custom) process layout
physical arrangement of production activities that groups equipment and people according to function
product layout
physical arrangement of production steps designed to make one type of production in a fixed sequence of activities according to its production requirements
assembly line layout
a same-steps layout in which a product moves step by step through a plant on conveyor belts or other equipment until it is completed
fixed-position layout
labor, equipment, materials, and other resources are brought to the geographic location where all production work is done
quality
combination of characteristics of a product or service that bear on its ability to satisfy stated or implied needs
performance
dimension of quality that refers to how well a product does what it is supposed to do
consistency
dimension of quality that refers to sameness of product quality from unit to unit
master schedule
the game plan for upcoming production
detailed schedules
show day-to-day activities that will occur in production
staff schedules
identify who and how many employees will working, and when
project schedules
provide coordination for completing large-scale projects
Gantt Chart
production schedule that breaks down large projects into steps to be performed and specifies the time required to perform each step
Pert Chart
production schedule specifying the sequence of activities, time requirements, and critical path for performing the steps in a project
materials management
the process by which managers plan, organize, and control the flow of materials from sources of supply through distribution of finished goods
supplier selection
process of finding and choosing suppliers from which to buy
purchasing
acquisition of the materials and services that a firm needs to produce its products
transportation
activities in transporting resources to the producer and finished goods to customers
warehousing
storage of incoming materials for production and finished goods for distribution to customers
inventory control
process of receiving, storing, handling, and counting all raw materials, partly finished goods, and finished goods
lean production system
production system designed for smooth production flows that avoid inefficiencies, eliminate unnecessary inventories, and continuously improve production processes
Just-In-Time (JIT) production
type of lean production system that brings together all materials at the precise time they are required at each production stage
operations control
process of monitoring production performance by comparing results with plans and taking corrective action when needed
follow-up
operations control activity for ensuring that production decisions are being implemented
quality control
action of ensuring that operations produce products that meet specific quality standards
productivity
the amount of output produced compared with the amount of resources used to produce that output
total quality management (TQM)
all activities involved in getting high quality goods and services into the marketplace
quality ownership
principle of total quality management that holds that quality belongs to each person who creates it while performing a job
competitive product analysis
process by which a company analyzes a competitor’s products to identify desirable improvements
value-added analysis
process of evaluating all work activities, materials flows, and paperwork to determine the value that they add for customers
quality improvement team
TQM tool in which collaborative groups of employees from various work areas work together to improve quality by solving common shared production problems
ISO 9000
program certifying that a factory, laboratory, or office has met the quality management standards set by the International Organization for Standardization
ISO 14000
certification program attesting to the fact that a factory, laboratory, or office has improved its environmental performance
business process reengineering
rethinking and radical redesign of business processes to improve performance, quality, and productivity
supply/value chain
flow of information, materials, and services that start with raw-material suppliers and continues adding value through other stages in the network of firms until the product reaches the end customer
supply chain management (SCM)
principle of looking at the supply chain as a while to improve the overall flow through the system
outsourcing
replacing internal processes by paying suppliers and distributors to perform business processes or to provide needed materials or services
employee behavior
the pattern of actions by the members of an organization that directly or indirectly influences the organization’s effectiveness
performance behaviors
the total set of work-related behaviors that the organization expects employees to display
organizational citizenship
positive behaviors that indirectly contribute to the bottom line
What are the 6 counterproductive behaviors?
Absenteeism, turnover, theft, sabotage, sexual harassment, workplace violence
What are the “Big Five” personality traits?
agreeableness, conscientiousness, emotionality, extraversion, openness
emotional intelligence (emotional quotient, EQ)
the extent to which people are self-aware, can manage their emotions, can motivate themselves, express empathy for others, and possess social skills
self-awareness
a person’s capacity for being aware of how they are feeling
managing emotions
a person’s capacities to balance anxiety, fear, and anger so that they do not overly interfere with getting things accomplished
motivating oneself
a person’s ability to remain optimistic and to continue striving in the face of setbacks, barriers, and failure
empathy
a person’s ability to understand how others are feeling even without being explicitly told
social skills
a person’s ability to get along with others and to establish positive relationships
self-esteem
the extent to which a person believes that he or she is a worthwhile and deserving individual
risk propensity
the degree to which a person is willing to take chances and make risky decisions
cognition
the knowledge a person presumes to have about something
affect
a person’s feelings toward something
intention
part of an attitude that guides a person’s behavior
cognitive dissonance
when two sets of cognitions or perceptions are contradictory or incongruent
attitudes
a person’s beliefs and feelings about specific ideas, situations, or people
job satisfaction
degree of enjoyment that people derive from performing their jobs
organizational commitment
an individual’s identification with the organization and its mission
psychological contract
set of expectations held by an employee concerning what he or she will contribute to an organization (contributions) and what the organization with in return provide the employee (inducements)
person-job fit
the extent to which a person’s contributions and the organization’s inducements match one another
motivation
the set of forces that cause people to behave in certain ways
classical theory of motivation
theory holding that workers are motivated solely by money
Hawthorne Effect
tendency for productivity to increase when workers believe they are receiving special attention from management
Theory X
theory of motivation holding that people are naturally lazy and unproductive
Theory Y
theory of motivation holding that people are naturally energetic, growth-oriented, self-motivated, and interested in being productive
hierarchy of human needs model
theory of motivation describing five levels of human needs and arguing that basic needs must be fulfilled before people work to satisfy higher-level needs (physiological, security, social, esteem, self-actualization)
two-factor theory
theory of motivation holding that job satisfaction depends on two factors, hygiene and motivation
expectancy theory
theory of motivation holding that people are motivated to work toward rewards that they want and that they believe they have a reasonable chance of obtaining
equity theory
theory of motivation holding that people evaluate their treatment by the organization relative to the treatment of others
positive reinforcement
reward that follows desired behaviors
punishment
unpleasant consequences of an undesirable behavior
management by objectives (MBO)
set of procedures involving both managers and employees in setting goals and evaluating progress
participative management and empowerment
method of increasing job satisfaction by giving employees a voice in the management of their jobs and the company
job enrichment
method of increasing job satisfaction by adding one or more motivating factors to job activities
job redesign
method of increasing job satisfaction by designing a more satisfactory fit between workers and their jobs
combining tasks
involves enlarging jobs and increasing their variety to make employees feel that their work is more meaningful
forming natural work groups
help employees see the importance of their jobs in the total structure of the firm
establishing client relationships
letting employees interact with customers
work (job) sharing
method of increasing job satisfaction by allowing two or more people to share a single full time job
flextime programs
method of increasing job satisfaction by allowing workers to adjust work schedules on a daily or weekly basis
telecommuting
form of flextime that allows people to perform some of all of a job away from standard office settings
leadership
the process and behaviors used by someone, such as a manager, to motivate, inspire, and influence the behaviors of others
power
the ability to affect the behavior of others
legitimate power
power granted through the organizational hierarchy
reward power
the power to give or withhold rewards
coercive power
the power to force compliance by means of psychological, emotional, or physical threat
trait approach to leadership
focused on identifying the essential traits that distinguish leaders; intelligence, dominance, self-confidence, energy, activity, knowledge
behavioral approach to leadership
focused on determining what behaviors are employed by leaders
task-focused leader behavior
leader behavior focusing on how tasks should be performed in order to meet certain goals and to achieve certain performance standards
employee-focused leader behavior
leader behavior focusing on satisfaction, motivation, and well-being of employees
transformational leadership
the set of abilities that allows a leader to recognize the need for change, to create a vision to guide that change, and to execute the change effectively
transactional leadership
comparable to management, it involves routine, regimented activities
charisma
a form of interpersonal attraction that inspires support and acceptance
charismatic leadership
type of influence based on the leader’s personal charisma
What are the three main things that charismatic leaders do?
Envision, energize, enable
leadership substitutes
individual, task, and organizational characteristics that tend to outweigh the need for a leader to initiate or direct employee performance
leadership neutralizers
factors that may render leader behaviors ineffective
leaders as coaches
from directive overseer to mentor
gender and leadership
understanding the differences and dynamics in the approaches of women and men to leadership
cross-cultural leadership
effects of an individual’s native culture on his or her approach to leadership when functioning in another culture
strategic leadership
leader’s ability to understand the complexities of both the organization and its environment and to lead change in the organization so as to enhance its competitiveness
ethical leadership
leader behaviors that reflect high ethical standards
virtual leadership
leadership in setting where leaders and followers interact electronically rather than in face-to-face settings
decision making
choosing one alternative from among several options
decision-making process
recognizing and defining the nature of a decision situation, identifying alternatives, choosing the “best” alternative, and putting it into practice
state of certainty
when the decision maker knows with reasonable certainty what the alternatives are and what conditions are associated with each alternative
state of risk
when the availability of each alternative and its potential payoffs and costs are all associated with probability estimates
state of uncertainty
when the decision maker does not know all the alternatives, the risks associated with each, or the likely consequences of each alternative
What are the steps of rational decision making?
Recognizing and defining the decision situation Identifying alternatives Evaluating alternatives Selecting the best alternative Implementing the chosen alternative Following up and evaluating the results
coalition
an informal alliance of individuals or groups formed to achieve a common goal
intuition
an innate belief about something, often without conscious consideration
escalation of commitment
condition in which a decision maker becomes so committed to a course of action that she or he stays with it even when it appears to have been wrong
risk propensity
extent to which a decision maker is willing to gamble when making a decision
