Business Dynamics Midterm
questions to ask if our business decisions are ethical
1. is it legal 2. is it balanced 3. how will it make me feel
business
Any activity that seeks to provide goods and services to others while operating at a profit.
whistleblowers
Insiders who report illegal or unethical behavior
strategic planning
Is the process of setting broad long range goals
small business
a business that is independently owned and operated, and is within size limits of a company
technical skills
ability to perform tasks in a specific discipline
Entrepreneurship
accepting the risk of starting and running a business
orientation
activity the intiates new employees into the organization to fellow employees
general partnership
all owners share in operating the business and in assuming for the businesses debt
performance appraisal
an evaluation that measures employee performance against established standards i otder to make decisons baout promotion, com
SWOT analysis
analyzes the organizations strengths and weaknesses and the opportunities and threats it faces.
unlimited liability
any debts or damages by the business is your debt and you must pay them
stakeholders
are all the people who stand to gain or lose by the policies and activities of a business
goals
are broad long term accoomplisments an organization wishes to attain
objectives
are specific short term statements for how to achieve the organizations goals
The two types of E-Commerce
business to business and business to consumer
incubators
centers that offer new businesses low cost offices with basic business services
ISO 14001
collective of the best on the environmental
materials requirement planning
computer based management system that uses sales forecasts to make sure needed parts and merials are available at the right time and place
business environment
consists of the surrounding factor that either help or hinder the development of businesses. (economic and legal environment, technological environment, competitive environment, social environment, global business environment)
market
consumers with unsatisfied wants and needs who have both resources and willingness to buy
leading
creating a vision for the organization and communicating, guiding, training, coaching to achieve goals and objectives in a timely manner
production
creation of finished goods and services using the factors of production
external customers
dealers, who buy products to sell to others and ultimate customers who buy products for their own personal use
integrity based ethics codes
defines the organizations guiding values, create an environment that supports ethically sound behavior, and stress shared accountability
human resource managment
determining HR needs then organizzing a company
compliance based ethics codes
emphasize preventing unlawful behavior increasing control and penalizing wrongdoers
vision
explanation of why the organization exists and where it is trying to go
flextime plan
gives employees some freedom to choose which hours to work, as long as they work the required number of hours
empowerment
giving employees the authority to make a decision without consulting the manager and the responsibility to respond quickly to customer requests
limited partnership
has one or more general partners and one or more limited partner
intermittent process
here is where the production run is short and the producer adjust machines frequently o make different proccesess
human relations skill
include communicating and motivation; enable workers to work through people
fringe benefits
include sick leve pay, vacation pay, pension plans, and health plans that provide additional compensations to empoyess beyond base wage
planning
includes anticipating trends and determining the best strategies to achieve organizational goals and objectives
organizing
includes designing the structure of the organization and creating conditions systems where everyone works together to achieve the organizations goals and objectives
corporate responsibility
includes everything from hiring minority workers to making safe products
middle management
includes general managers, division managers who are responsible for tactical planning and controlling
affirmative action
increasing opportunites for minorities and women
cooperative
is a business owned and controlled by the people who use it - producers, consumers, or workers with similar needs who pool their resources for mutual gain.
sole proprietorship
is a business owned by one person
business plan
is a detailed written statement that describes the nature of the business, the target market..
corporation
is a legal entity with the authority to act and have liability apart form its owners
nonprofit organization
is a organizations whose goals do not include making a personal profit for its owners or organizers
conventional (C) corporation
is a state-charted legal entity with authority to act and have liability separate from its owners
social audit
is a systematic evaluation of and organization's progress toward implementing socially responsible and responsive programs.
S Corporation
is a unique government creation that looks like a corporation but is taxed like a sole proprietorship - only difference is the taxation
decision making
is choosing among two or more alternatives
operations managment
is converting resources into goods and services; anything that helps with operations of a business
acquisition
is one company's purchase of the property and obligations of another company
staffing
is recruiting, hiring, motivating and retaining the best people avable to accomplish the companies objective
limited liability company (LLC)
is similar to an S corporation but without the special eligibility requirements. can chose to be taxed as partnerships or as corporations
profit
is the amount a business earns above and beyond what it spends on expenses
corporate social responsibility
is the concern businesses have for the welfare of society
purchasing
is the function that searches for high quality material resources
tactical planning
is the identification of specific, short term goals
recruitment
is the set of activies for obtaning the right number of qualified people at the right time
revenue
is the total amount of money a business takes in during a given period by selling goods and services
form utility
is the value producers add to materials in the creation of finished goods and services; silicon to computer chips; making something from something already existing
partnership
is when two or more people legally agee to become co-owners of a business
horizontal merger
joins two firms in the same industry that allows them to diversify their products; vitamin water and gatorade
vertical merger
joins two firms operating in different stages of related businesses; like a soda company buying a sugar company
factors of production
land (natural resources), labor (workers), capital (what is used in the production of goods), entrepreneurship, knowledge
on the job training
lets the employee learn by doing, or by watching others for a while and imitating them
job sharing
lets two or more part time employees share one fulltime job
quality
means consistently producing what the customer wants while reducing errors before and after delivery
autocratic leadership
means making managerial decisions without consulting others
limited liability
means that the limited partner's liability for the debts of the business is limited to the amount he put in
just-in-time inventory control
minimum inventory to cut costs
ISO 9001
name given to quality management and assurance standards
continuous process
one in which long production runs turn out finished goods over time
mission statement
outlines the organizational fundamental purposes
contingent workers
part time workers, temporary workers and seasonsal workers
intrapreneurs
people who work as entrepreneurs in a large company \micropreneurs are accepting the risk of starting and managing the type of business that remains small
management development
process of trainig and educating emplotees to become good managers
management
process used to accomplish organizational goals through planning, organizing, leading, and controlling people nd other organizations
facility location
processor selecting a geographic location for acompanys operation
lean manufacturing
production of goods using less of everything than in mass production
assembly process
puts together components to make a product
corporate policy
refers to the position a firm takes on social and political issues.
ethics
societys accepted standards of moral behavior; right versus wrong
franchise agreement
someone with a good idea for a business sells the rights to use the business name and sell a product or service
venture capitalist
stake in your company for the cash to start your company
supervisory management
supervising workers and evaluating their daily performance
production management
the activities tat helped firms create goods.
risk
the chance an entrepreneur takes of losing time and money on a business that my not prove profitable
contingency planning
the creation of backup plans in case the primary plans fail
corporate philanthropy
the dimension of social responsibility that includes charitable donation
top management
the highest level of a company; president and other key executives that make strategic plans
selection
the process of gethering information and deciding who should be hired, under legal guidelines
operational planning
the setting of work standards and schedules
computer aided design
the use of computers to design products
merger
two firms joining one firm; like a marriage
small business administration
us government agency that advises and assists small businesses by providing management training and financial advice and loans
loss
when a business's expenses are more than its revenues.
conglomerate merger
when two completely different companies join together; like a snack and drink company