Management Test 1 Chapter 1-4

Front 1

Organization:

Back 1

a systematic arrangement of people brought together to accomplish some specific purpose.

Front 2

Non managerial employees:

Back 2

people who work directly on a job or task and have no responsibility for overseeing the work of others.

Front 3

Managers:

Back 3

individuals in an organization who direct the activities of others.

Front 4

Top Managers

Back 4

individuals who are responsible for making decisions about the direction of the organization and establishing policies that affect all organizational members.

Front 5

Middle manager:

Back 5

individuals who are typically responsible for translating goals set by top managers into specific details that lower-level managers will get done.

Front 6

First-line Managers

Back 6

supervisors responsible for directing the day-to-day activities of non managerial employees.

Front 7

Management

Back 7

the process of getting things done, effectively and efficiently, through and with other people.

Front 8

Efficiency:

Back 8

doing things right or getting the most output from the least amount of inputs.

Front 9

Effectiveness:

Back 9

doing the rights things, or completing activities so that organizational goals are attained.

Front 10

Scientific Management

Back 10

the use of scientific methods to define the “one best way” for a job to be done.

Front 11

Planning

Back 11

includes defining goals, establishing strategy, and developing to coordinate activities.

Front 12

Organizing

Back 12

includes determining what tasks are to be done, who is to do them, how the tasks are to be grouped, who reports to whom, and where decisions are to be made.

Front 13

Leading

Back 13

includes motivating employees, directing the activities of others, selecting the most effective communication channel and resolving conflicts.

Front 14

Controlling

Back 14

the process of monitoring performance, comparing it with goals, and correcting any significant deviations.

Front 15

Managerial roles

Back 15

specific categories of managerial behavior; often grouped under 3 primary headings: interpersonal relationships, transfer of information, and decision making.

Front 16

Interpersonal roles

Back 16

involve people (subordinates and persons outside the organization) and other duties that are ceremonial and symbolic in nature.

Front 17

Informational roles

Back 17

involve collecting, receiving, and disseminating information.

Front 18

Decision roles

Back 18

entail decisions or choices.

Front 19

Conceptual skills

Back 19

a manager’s ability to analyze and diagnose complex situations.

Front 20

Interpersonal skills

Back 20

a manager’s ability to work with, understand, mentor, and motivate others, both individually and in groups.

Front 21

General Administrative Theory

Back 21

-focused on what constituted good management
-Max Weber (pictured) described the bureaucracy as an ideal rational form of organization
-Henri Fayol identified five management functions and 14 management principles

Front 22

Technical skills

Back 22

job-specific knowledge and techniques needed to perform work tasks.

Front 23

Political skills

Back 23

a manager’s ability to build a power base and establish the right connections

Front 24

Small business:

Back 24

an independent business having fewer than 500 employees and which doesn’t necessarily engage in any new or innovative practices and which has relatively little impact on its industry.

Front 25

Intranet

Back 25

a private computer network that uses internet technology and is accessible only to organizational members.

Front 26

Technology

Back 26

any equipment, tools, or operating methods that are designed to make work more efficient.

Front 27

Global village

Back 27

refers to the concept of a boundary less world where goods and services are produced and marketed worldwide.

Front 28

Multinational corporation (MNC):

Back 28

any type of international company that maintains operations in multiple counties.

Front 29

Multi-domestic corporation:

Back 29

an MNC that decentralizes management and other decisions to the local country where it’s doing business.

Front 30

Global corporation

Back 30

an MNC that centralizes management and other decisions in the home country.

Front 31

Transnational (borderless) organization

Back 31

a structural arrangement for global organizations that eliminates artificial geographical barriers.

Front 32

Global sourcing

Back 32

purchasing materials or labor from around the world wherever it’s cheapest.

Front 33

Exporting

Back 33

making products domestically and selling them abroad.

Front 34

Importing:

Back 34

acquiring products made abroad and selling them domestically.

Front 35

Licensing

Back 35

an agreement primarily used by manufacturing businesses in which an organization gives another the right, for a fee, to make or sell its products, using its technology or product specifications.

Front 36

Franchising

Back 36

an agreement primarily used by service businesses in which an organization gives another organization the right, for a fee, to use its name and operating methods.

Front 37

Global strategic alliance

Back 37

a partnership between an organization and a foreign company partner(s) in which resources and knowledge are shared in developing new products or building production facilities.

Front 38

Joint venture:

Back 38

a specific type of strategic alliance in which the partners agree to form a separate, independent organization for some business purpose.

Front 39

Foreign subsidiary:

Back 39

a direct investment in a foreign country that involves setting up a separate and independent facility or office.

Front 40

Parochialism:

Back 40

a narrow focus in which managers see things only through their own eyes and from their own perspective.

Front 41

Global Leadership and Organizational Behavior Effectiveness (GLOBE):

Back 41

a program that studies cross-cultural leadership behaviors.

Front 42

Green Machine:

Back 42

when managers recognize and consider the impact of their organization and its practices on the natural environment.

Front 43

Social responsibility:

Back 43

a business firm’s intention, beyond its legal and economic obligations, to do the right things and act in ways that are good for society.

Front 44

Social obligation:

Back 44

when a business firm engages in social actions because of its obligation to meet certain economic and legal responsibilities.

Front 45

Social responsiveness:

Back 45

when a business firm engages in social actions in response to some popular social needs.

Front 46

Ethics:

Back 46

a set of rules or principles that defines right and wrong conduct.

Front 47

Code of ethics

Back 47

a formal document that states an organization’s primary values and the ethical rules it expects managers and non managerial employees to follow.

Front 48

Workforce diversity:

Back 48

ways in which people in a workforce are similar and different from one another in terms of gender, race, sexual orientation, and physical abilities, and disabilities.

Front 49

Gen Y:

Back 49

a population group that includes individuals born from about 1978 to 1994.

Front 50

Family-friendly benefits

Back 50

benefits that provide a wide range of scheduling options that allow employees more flexibility at work accommodating their needs for work/life balance.

Front 51

Contingent workforce

Back 51

: part-time, temporary, and contract workers who are available for hire on an as-needed basis.

Front 52

Empowerment

Back 52

when employees have decision-making discretion

Front 53

Continuous improvement:

Back 53

an organization’s commitment to continually improving the quality of a product or service.

Front 54

Kaizen

Back 54

the Japanese term for an organization’s commitment to continuous improvement.

Front 55

Work process engineering

Back 55

radical or quantum change in an organization

Front 56

Decision-making process:

Back 56

a set of eight steps that includes indentifying a problem, selecting a solution, and evaluating the effectiveness of the solution.

Front 57

Problem:

Back 57

a discrepancy between an existing and a desired state of affairs.

Front 58

Decision criteria:

Back 58

factors that are relevant in a decision.

Front 59

Decision implementation:

Back 59

putting a decision into action.

Front 60

Heuristics

Back 60

judgmental shortcuts or “rule of thumb’ used to simplify decision making.

Front 61

Rational decision making:

Back 61

describes choices that are consistent and value-maximizing within specified constraints.

Front 62

Bounded rationality:

Back 62

making decisions that are rational within the limits of a manager’s ability to process information.

Front 63

Satisfice:

Back 63

accepting solutions that are “good enough”.

Front 64

Escalation of commitment:

Back 64

an increased commitment to a previous decision despite evidence that it may have been a poor decision.

Front 65

Intuitive decision making:

Back 65

making decisions on the basis of experience, feelings, and accumulated judgment.

Front 66

Structured problem:

Back 66

a straightforward, familiar, and easily defined problem.

Front 67

Unstructured problem:

Back 67

a problem that is new or unusual for which information is ambiguous or incomplete.

Front 68

Programmed decision:

Back 68

a repetitive decision that can be handled using a routine approach.

Front 69

Procedure

Back 69

a series of interrelated, sequential steps used to respond to a structured problem.

Front 70

Rule:

Back 70

an explicit statement that tells employees what can or cannot be done.

Front 71

Policy:

Back 71

a guideline for making decisions.

Front 72

Non-programmed decision:

Back 72

a unique and nonrecurring decision that requires a custom-made solution.

Front 73

Certainty

Back 73

a situation in which a decision maker can make accurate decisions because all outcomes are known.

Front 74

Risk

Back 74

a situation in which a decision maker is able to estimate the likelihood of certain outcomes

Front 75

Uncertainty:

Back 75

a situation in which a decision maker has neither certainty nor reasonable probability estimates available.

Front 76

Groupthink:

Back 76

when a group exerts extensive pressure on an individual to withhold his or her different views in order to appear to be in agreement.

Front 77

Brainstorming:

Back 77

an idea-generation process that encourages alternatives while withholding a criticism.

Front 78

Nominal group techniques:

Back 78

a decision making technique in which group members are physically present but operate independently.

Front 79

Electronic meeting:

Back 79

a type of nominal group technique in which participants are linked by computer.

Front 80

Ringisei

Back 80

Japanese consensus group decisions.

Front 81

Creativity

Back 81

the ability to produce novel and useful ideas.

Front 82

Learning Objectives

Back 82

Discuss the nature and purposes of planning
Explain what managers do in the strategic management process
Compare and contrast approaches to goal setting and planning
Discuss contemporary issues in planning

Front 83

What Is Planning?

Back 83

Planning is often called the primary management function because it establishes the basis for all the other things managers do

Front 84

Hofstede’s Framework

Back 84

-Studied differences in culture and found that managers and employees vary on five value dimensions of national culture:
-Power Distance
-Individualism vs. Collectivism
-Achievement vs. Nurturing
-Uncertainty Avoidance
-Long-term vs. Short-term -Orientation

Front 85

Managers should plan for at least four reasons

Back 85

1.planning establishes coordinated effort
2.planning reduces uncertainty
3.planning reduces overlapping and wasteful activities
4.planning establishes the goals or standards that facilitate control

Front 86

Critics have challenged some of the basic assumptions of planning

Back 86

Planning may create rigidity
Formal plans can’t replace intuition and creativity
Planning focuses managers’ attention on today’s competition, not on tomorrow’s survival
Formal planning reinforces success, which may lead to failure

Front 87

Strategic Management

Back 87

What managers do to develop an organization’s strategies

Front 88

Strategies

Back 88

Plans for how the organization will do what it’s in business to do, how it will compete successfully, and how it will attract its customers in order to achieve its goals

Front 89

Strategic Management Process

Back 89

STEP 1: Identifying the organization’s current mission, goals and strategies
STEP 2: Doing an external analysis
STEP 3: Doing an internal analysis
STEP 4: Formulating the strategies
STEP 5: Implementing strategies
STEP 6: Evaluating results

Front 90

SWOT Analysis

Strengths

Weaknesses

Back 90

1.The combined external and internal analyses
2.Any activities the organization does well or any unique resources that it has
3.Activities the organization doesn’t do well or resources it needs but doesn’t possess

Front 91

Opportunities

Threats

Back 91

1.Positive trends in the external environment
2.Negative trends in the external environment

Front 92

Growth Strategy

Back 92

A corporate strategy in which an organization expands the number of markets served or products offered either through its current business(es) or through new business(es).

Front 93

Stability Strategy

Renewal Strategy

Back 93

1.A corporate strategy in which an organization continues to do what it is currently doing
2.A corporate strategy that addresses declining organizational performance

Front 94

Cost Leadership Strategy

Differentiation Strategy

Focus Strategy

Back 94

1.Competing on the basis of having the lowest costs in the industry
2.Competing on the basis of having unique products that are widely valued by customers
3.Competing in a narrow segment or niche with either a cost focus or a differentiation focus

Front 95

Functional Strategies

Back 95

The strategies used in an organization’s various functional departments to support the competitive strategy

Front 96

Benchmarking

Back 96

The search for the best practices among competitors or noncompetitors that lead to their superior performance

Front 97

Goals (objectives)

Stated Goals

Plans

Back 97

1.Desired outcomes or targets
2.Official statements of what an organization says, and wants its stakeholders to believe, its goals are
3.Documents that outline how goals are going to be met

Front 98

Means-End Chain

Management By Objectives (MBO)

Back 98

1.An integrated network of goals in which higher level goals are linked to lower-level goals, which serve as the means for their accomplishment
2.A process of setting mutually agreed-upon goals and using those goals to evaluate employee performance

Front 99

Strategic Plans

Tactical Plans

Back 99

1.Plans that apply to the entire organization and encompass the organization’s overall goals
2.Plans that specify the details of how the overall goals are to be achieved

Front 100

Long-term Plans

Short-term Plans

Back 100

1.Plans with a time frame beyond three years
2.Plans with a time frame of one year or less

Front 101

Specific Plans

Directional Plans

Back 101

1.Plans that are clearly defined and leave no room for interpretation
2.Plans that are flexible and set general guidelines