Summary Flashcards
What are the features of an organisation?
- Social organisation
- Collective goals
- Controlled Performance
- Boundary (physical and social)
What is the ‘mission’ of an organisation?
Its reason for existence. The most generalised type of objective
What are the mission statements?
Should communicate:
- Purpose
- Strategy
- Policies
- Values
What is the ‘vision’ of an organisation?
How does the organisation see itself in the future?
What are the ‘goals’ of an organisation?
The desired end result
How do you define the ‘objectives’ of an organisation?
Quantitative operation goals that should be: SMART
- Specific
- Measurable
- Achievable
- Relevant
- Time-constrained
What are ‘aims’?
Qualitative operational goals
What are the plans?
What needs to be done to achieve the objectives
What are standards and targets?
The desired level of performance They could be: - Physical standards - Cost standards - Quality standards
What is sustainability? What is business sustainability?
Sustainability: the ability to meet the need of the present without compromising the ability of future generations to meet their own needs
Business sustainability: how far a business goes to operate in a sustainable way
What are the four main types of manager?
- Line manager
- Staff manager
- Functional manager
- Project manager
What is power? What are some of the different types?
The ability to get things done. This includes: - Reward power - Coercive power - Expert power - Referent power - Legitimate power - Negative power
What is authority?
The right to do something or the right to request and expect another person to do something
What is responsibility?
The obligation a person has to fulfil a task assigned to them
What is accountability?
Liability to be called into account for the fulfilment of a task
What is delegation?
Giving a subordinate the responsibility and authority to carry out a given task
What are the different forms of culture?
Flexible vs controlled/inward-looking vs outward-looking
- Internal process culture
- Rational goal culture
- Open systems culture
- Human relations culture
What is the organisational iceberg?
- Overt/visible part of the organisation’s culture
- Covert/invisible behaviours of the organisation
How do Human Resource Management remain effective?
The 4 C’s
- Commitment
- Competence
- Congruence
- Cost-effectiveness
What does Taylor say about motivation?
Scientific management:
- True science of work
- Scientific selection of staff
- Everyone can be treated the same way
- Wages are main motivator
- Little team or group work
- Workers do as they are told
What are Maslow’s hierarchy of needs?
Bottom to top:
- Basic needs
- Safety needs
- Social needs
- Ego needs
- Self-fulfilment needs
What are the four stages of group behaviour?
- Forming
- Storming
- Norming
- Performing
What are Belbin’s group roles?
- The leader
- The shaper
- The plant
- The evaluator
- The resource-investigator
- The company worker
- The team worker
- The finisher
What are Likert’s 4 leadership styles?
- Exploitative/authoritative
- Benevolent authoritative
- Consultative
- Participative
What are the 4 P’s of marketing?
- Product (Basic, Actual, Augmented)
- Price (Cost, Customers, Competition, Corporate Objectives)
- Place (distribution) (Direct: Retailing, Internet sales, Direct mail order, Personal selling vs. Indirect: Distributor, Wholesaler, Retailers, Agents)
- Promotion (Awareness, Interest, Desire, Action)
What are operations within operational management?
- Volume
- Variety
- Variation in demand
- Visibility
What is research and development within operational management?
- Pure research
- Applied research
- Development
What is procurement within operational management?
- Quantity
- Quality
- Price
- Lead times
Give an example of the Entrepreneurial organisational structure. What are the advantages and disadvantages?
Example: BOSS above everyone else
Advantages: Fast decision making, more responsive to market, good control, close bond to workforce
Disadvantages: Lack of career structure, may be too centralised, cannot cope with diversification/growth
Give an example of the Functional organisational structure. What are the advantages and disadvantages?
Example: Managing Director supported by a Production Manager, Finance Manager, and a Sales Manager
Advantages: Economies of scale, standardisation, specialists more comfortable
Disadvantages: Empire building, slow, conflicts between functions, cannot cope with diversification
Give an example of the Divisional organisational structure. What are the advantages and disadvantages?
Example: Board HQ functions supported by divisions
Advantages: Enables growth, clear responsibility, training of general managers
Disadvantages: Loss of control, lack of goal congruence, duplication, specialists may feel isolated
GIve an example of the Matrix organisational structure. What are the advantages and disadvantages?
Example: check notes
Advantages: Advantages of both functional and divisional structures, flexibility
Disadvantages: Dual command, dilution of functional authority, time consuming meetings
What are the pros of decentralisation?
- Senior management free to concentrate on strategy
- Better local decisions due to local expertise
- Better motivation
- Quicker responses/flexibility
- Training/career path
What are the cons of decentralisation?
- Loss of control
- Dysfunctional decisions due to a lack of goal congruence
- Poor decisions made by inexperienced managers
- Training costs
- Duplication
- Extra costs re. information
What are the features of a tall structure?
- Narrow spans of control
- More promotional opportunities
- Smoother progression from one level to another
What are the features of a flat structure?
- Wider spans of control
- Quicker decision making
- Lower management costs
What are the features of a mechanistic vs organic organisation?
Mechanistic: formal, focuses on efficiency, power based on authority
Organic: Informal, focuses on flexibility, power based on expertise
What are the advantages and disadvantages for a sole trader?
Adv: Keep all of the profit, little regulation
Disad: Unlimited liability, continuity concerns
What are the advantages and disadvantages for a Partnership?
Adv: Partnership skills, little regulation
Disad: Unlimited liability, potential disagreements
What are the advantages and disadvantages for Limited Companies?
Adv: Limited liabilities, ownership transferred by selling shares
Disad: Regulation, Financial statements open to scrutiny
What are the different types of alliance?
- Joint ventures
- Strategic alliances
- Licensing
- Franchising
- Agency agreements
