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107 Cards in this Set
- Front
- Back
Planning |
Determining organizational goals and a means for achieving them |
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Benefits and pitfalls of planning |
Benefits- Intensified effort, persistence, direction, and creation of task strategies. Pitfalls- Impedes change, false sense of certainty, and detachment of planners. |
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How to make plans that Work (Exhibit 4.1) |
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SMART Goals |
Goals that are Specific, Measurable, Attainable, Realistic, and Timely |
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Goal Commitment |
The determination to achieve a goal |
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Action plan |
The specific steps, people, and resources needed to accomplish a goal |
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Proximal vs Distal Goals |
Proximal- short-term goals or subgoals Distal- long-term or primary goals |
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Options-based planning |
Maintaining planning flexibility by making small, simultaneous investments in many alternative plans |
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Slack Resources |
A cushion of extra resources that can be used with options-based planning to adapt to unanticipated change, problems, or opportunities. |
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Learning-based planning |
Learning better ways of achieving goals by continually testing, changing, and improving plans and strategies |
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Planning from Top to Bottom (Exhibit 4.3) |
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Responsibility of Top Managers |
Responsible for developing long-term strategic plans that make clear how the company will serve customers and position itself against competitors in the next two to five years. |
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Strategic plans |
Overall company plans that clarify how the company will serve customers and position itself against competitors over the next 2-5 years |
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Purpose Statement |
A statement of a company's purpose or reason for existing |
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Strategic Objective |
A more specific goal that unifies company-wide efforts, stretches and challenges the organization, and possesses a finish line and a time frame. |
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Responsibilities of Middle Management |
Responsible for developing and carrying out tactical plans to accomplish the organization's objectives. |
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Tactical Plans |
Plans created and implemented by middle managers that specify how the company will use resources, budgets, and people over the next six months to two years to accomplish specific goals within its mission |
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Management by Objectives (MBO) |
A four-step process in which managers and employees discuss goals, select goals, develop tactical plans, and meet REGULARLY to review process toward goals within its mission |
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Responsibilities of First-Level Managers |
Responsible for developing and carrying out operational plans, which are the day-to-day plans for producing or delivering the organization's products and services. |
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Operational Plans |
Day-to-day plans, developed and implemented by lower-level managers, for producing or delivering the organization's products and services over a 30-day to six-month period |
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Single-Use Plans |
Plans that cover unique, one-time-only events |
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Standing Plans |
Plans used repeatedly to handle frequently recurring events |
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Policies |
A standing plan that indicates the general course of action that should be taken in response to a particular event. |
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Procedures |
A standing plan that indicates the specific steps that should be taken in response to a particular event |
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Rules and Regulations |
Standing plans that describe how a particular action should be performed, or what must happen or not happen in response to a particular event. |
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Budgeting |
Quantitative planning through which managers decide how to allocate available money to best accomplish company goals |
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3 kinds of operational plans? |
Single-Use Standing Plans Budgeting |
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6 Steps of the Rational Decision-Making Process |
1. Define the problem 2. Identify Decision Criteria 3. Weight the Criteria 4. Generate Alternative Courses of Action 5. Evaluate Each Alternative 6. Compute the Optimal Decision |
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Rational Decision Making Process |
Systematic process defining problems, evaluating alternatives, and choosing optimal solutions |
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Decision Making |
The process of choosing a solution from available alternatives |
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Problem |
Gap between a desired state and an existing state |
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Decision Criteria |
The standards used to guide judgements and decisions |
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Absolute Comparisons |
A process in which each decision criterion is compared to a standard or ranked on its own merits |
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Relative Comparisons |
A process in which each decision criterion is compared directly with every other criterion |
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Bounded Rationality |
A decision-making process restricted in the real world by limited resources, incomplete and imperfect information, and managers' limited decision-making capabilities |
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Maximize |
Choosing the best alternative |
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Satisficing |
Choosing a "good enough" alternative |
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Advantages and Pitfalls of Group Decision Making |
Advantages- View problems from multiple perspectives, find and access more information than individuals, generates more alternative solutions, and members more committed to making chosen solutions work. Disadvantages- Groupthink- pressure to conform, takes considerable time, sometimes dominated by 1 or 2 members, and members may not feel accountable for the decisions made and actions taken by the group. |
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Groupthink |
A barrier to good decision making caused by pressure within the group for members to agree with each other. |
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Techniques to Improve Group Decision Making |
Structured Conflict Nominal Group Technique Delphi Technique Stepladder Technique Electronic Brainstorming |
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C-Type Conflict (Cognitive Conflict) |
Disagreement that focuses on problem- and issue- related differences of opinion |
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A-Type Conflict (Affective Conflict) |
Disagreement that focuses on individuals or personal issues |
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Devil's Advocacy |
A decision-making method in which an individual or a subgroup is assigned the role of critic. |
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Dialectical Inquiry |
A decision-making method in which decision makers state the assumptions of a proposed solution (a thesis) and generate a solution that is the opposite (antithesis) of that solution |
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Nominal Group Technique |
A decision-making method that begins and ends by having group members quietly write down and evaluate ideas to be shared with the group |
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Delphi Technique |
A decision-making method in which members of a panel of experts respond to questions and to each other until reaching agreement of an issue |
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Stepladder Technique |
A decision-making method in which group members are added to a group discussion one at a time (like a stepladder). The existing group members listen to each new member's thoughts, ideas, and recommendations; then the group shares the ideas and suggestions that it already considered, discusses the new and old ideas, and makes a decision |
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Brainstorming |
A technique in which group members build on others' ideas for generating a large number of alternative solutions |
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Electronic Brainstorming |
A decision-making method in which group members use computers to build on each others' ideas and generate as many alternatives as possible |
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Production Blocking |
A disadvantage of face-to-face brainstorming in which a group member must wait to share an idea because another member is presenting an idea |
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Evaluation Apprehension |
Fear of what others will think of your ideas |
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Organizational Structure |
The vertical and horizontal configurations of departments, authority, and jobs within a company |
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Organizational Process |
The collection of activities that transform inputs into outputs that customers value |
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Departmentalization |
Subdividing work and workers into separate units responsible for completing particular tasks |
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Types of departmentalization |
Functional Product Customer Geographic Matrix |
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Functional Departmentalization |
Organizing work and workers into separate units responsible for particular business functions or areas of expertise |
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Product Departmentalization |
Organizing work and workers into separate units responsible for producing particular products or services |
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Customer Departmentalization |
Organizing work and workers into separate units responsible for particular kinds of customers |
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Geographic Departmentalization |
Organizing work and workers into separate units responsible for doing business in particular geographic areas |
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Matrix Departmentalization |
A hybrid structure in which two or more forms of departmentalization, most often. Product and functional, are used together. |
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Simple Matrix |
A form of matrix departmentalization in which managers on different parts of the matrix negotiate conflicts and resources |
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Complex Matrix |
A form of matrix departmentalization in which managers in different part of the matrix report to matrix managers, who help them sort out conflicts and problems |
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Authority |
The right to give commands, take action, and make decisions to achieve organizational objectives |
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Chain of Command |
The vertical line of authority that clarifies who reports to whom throughout the organization |
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Unity of Command |
A management principle that workers should report to just one boss. |
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Line vs. Staff Authority |
Line Authority- the right to command immediate subordinates in the chain of command Staff Authority- the right to advise, but not command, others who are not subordinates in the chain of command |
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Line Function vs. Staff Function |
Line Function- an activity that contributes directly to creating or selling the company's products Staff Function- an activity that does not contribute directly to creating or selling the company's products, but instead supports line activities |
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Delegation of Authority |
The assignment of direct authority and responsibility to a subordinate to complete tasks for which the manager is normally responsible |
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Centralization of Authority |
The location of most authority at the upper levels of the organization |
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Decentralization |
The location of a significant amount of authority in the lower levels of the organization |
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Standardization |
(decentralization can be harmful when this is necessary) Solving problems by consistently applying the same rules, procedures, and processes |
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Job Design |
The number, kind, and variety of tasks that individual workers perform in doing their jobs |
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Job Specialization |
A job composed of a small part of a larger task or process |
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(4) Methods used to overcome problems with job specialization? |
Job Rotation Job Enlargement Job Enrichment Job Characteristics Model |
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Job Rotation |
Periodically moving workers from one specialized job to another to give them more variety and the opportunity to use different skills |
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Job Enlargement |
Increasing the number of different tasks that a worker performs within one particular job |
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Job Enrichment |
Increasing the number of tasks in a particular job and giving workers the authority and control to make meaningful decisions about their work |
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Job Characteristics Model (JCM) Exhibit and 5 Main Ideas |
And approach to job redesign that seems to formulate jobs in ways that motivate workers and lead to positive work outcomes Using- Skill Variety Task Identity Task Significance Autonomy Feedback |
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Job Characteristics Model (JCM) Exhibit and 5 Main Ideas |
And approach to job redesign that seems to formulate jobs in ways that motivate workers and lead to positive work outcomes Using- Skill Variety Task Identity Task Significance Autonomy Feedback |
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Skill Variety |
The number of different activities performed in a job |
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Skill Variety |
The number of different activities performed in a job |
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Task Identity |
The degree to which a job, from beginning to end, requires the completion of a whole and identifiable piece of work |
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Task Significance |
The degree to which a job is perceived to have a substantial impact on others inside or outside the organization |
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Autonomy |
The degree to which a job gives workers the discretion, freedom, and independence to decide how and when to accomplish the job |
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Feedback |
The amount of information the job provides to workers about their work performance |
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Mechanistic Organizations |
An organization characterized by specialized jobs and responsibilities; precisely defined, unchanging roles; and a rigid chain of command based on centralized authority and vertical commutation |
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Organic Organization |
An organization characterized by broadly defined jobs and responsibilities; loosely defined, frequently changing roles; and decentralized authority and horizontal communication based on task knowledge. |
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Intraorganizational Process |
The collection of activities that take place within an organization to transform inputs into outputs that consumers value |
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Reengineering |
Fundamental rethinking and radical redesign of business processes to achieve dramatic improvements in critical measures of performance, such as cost, quality, service, and speed |
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Task Interdependence and 3 types |
The extent to which collective action is required to complete an entire piece of work Pooled Sequential Reciprocal |
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Pooled Interdependence |
Work completed by having each job or department independently contribute to the whole |
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Sequential Interdependence |
Work completed in succession, with one group's or job's outputs becoming the inputs for the next group or job |
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Reciprocal Interdependence |
Work completed by different jobs or groups working together in a back and forth manner |
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Reengineering and Task Interdependence Exhibit 8.11 |
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Empowering Workers |
Permanently passing decision-making authority and responsibility from managers to workers by giving them the information and resources they need to make and carry out good decisions |
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Empowerment |
Feelings of intrinsic motivation, in which workers perceive their work to have impact and meaning and perceive themselves to be competent and capable of self-determination |
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Internal Motivation |
Motivation that comes from the job itself rather than from outside rewards |
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Behavioral Informality |
A workplace atmosphere characterized by spontaneity, casualness, and interpersonal familiarity |
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Behavioral Informality |
A workplace atmosphere characterized by spontaneity, casualness, and interpersonal familiarity |
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Behavioral Formality |
A workplace atmosphere characterized by routine and regimen, specific rules about how to behave, and impersonal detachment |
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Open Office System |
Offices in which the physical barriers that separate workers ha e been removed in order to increase communication and interaction |
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Shared Spaces |
Spaces used by and open to all employees |
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Private Spaces |
Spaces used by and open to just one employee |
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Interorganizational Process |
A collection of activities that take place among companies to transform inputs into outputs that customers value |
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Modular Organization |
An organization that outsources noncore business activities to outside companies, suppliers, specialists, or consultants |
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Modular Organization |
An organization that outsources noncore business activities to outside companies, suppliers, specialists, or consultants |
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Virtual Organization |
An organization that is part of a network in which many companies share skills, costs, capabilities, markets, and customers to collectively solve customer problems or provide specific products or services |