EMBA Terms

5 P's Model of Leadership (Mildred Golden, Chris J. White and Leslie A. Toombs)

A strategic management model that resorts to the alignment of five key variables to improve the organization and its operations, namely: Purpose, Principles, Processes, People and Performance: . Purpose: includes all elements that form the organizations' purpose, namely the mission, vision, targets and aims and strategies; . Principles: are the guiding principles, philosophies or assumptions that guide the own organization and its business; this variable includes ethic and own organizational culture; . Processes: variable that represents organizational structure, internal systems, rules and procedures used by the organization to produce its products and services; . People: people or teams that perform a job in a coherent manner with the principles and processes of the organization to achieve its goals; . Performance: includes all performance metrics, measures and results that should be used as support or aid to the decision taking. For an organization to be efficient and effective is needed that all five variables are in consonance as a way to mutually support and reinforce themselves. Incompatibilities or inconsistencies among the variables leads to time, energy and money losses, and can also lead to employees' frustration and discouragement. Beyond strategic management, 5 P's model can also be used in quality management, organizational evaluation and change management.

Expectancy Theory (Victor Vroom)

Assumes that behavior results from conscious choices among alternatives whose purpose it is to maximize pleasure and to minimize pain. Vroom realized that an employee's performance is based on individual factors such as personality, skills, knowledge, experience and abilities. The expectancy theory of motivation provides an explanation as to why an individual chooses to act out a specific behavior as opposed to another. This cognitive process evaluates the motivational force (MF) of the different behavioral options based on the individual's own perception of the probability of attaining his desired outcome. MF = Expectancy x Instrumentality x Valence(s)

5 C's of Marketing Analysis

Company, Collaborators, Customers, Competitors, and Climate. Company: Product line, Image in the market, Technology and experience, Culture, Goals Collaborators: Distributors, Suppliers, Alliances Customers: Market size and growth, Market segments, Benefits that consumer is seeking, tangible and intangible. Motivation behind purchase; value drivers, benefits vs. costs, Decision maker or decision-making unit Retail channel - where does the consumer actually purchase the product? Consumer information sources - where does the customer obtain information about the product? Buying process; e.g. impulse or careful comparison Frequency of purchase, seasonal factors Quantity purchased at a time Trends - how consumer needs and preferences change over time Competitors: Actual or potential, Direct or indirect, Products, Positioning, Market shares, Strengths and weaknesses of competitors Climate (or context or macro-environmental factors): Political & regulatory environment - governmental policies and regulations that affect the market Economic environment - business cycle, inflation rate, interest rates, and other macroeconomic issues Social/Cultural environment - society's trends and fashions Technological environment - new knowledge that makes possible new ways of satisfying needs; the impact of technology on the demand for existing products.

Value Chain (Michael Porter)

Interlinked value-adding activities that convert inputs into outputs which, in turn, add to the bottom line and help create competitive advantage. A value chain typically consists of (1) inbound distribution or logistics, (2) manufacturing operations, (3) outbound distribution or logistics, (4) marketing and selling, and (5) after-sales service. These activities are supported by (6) purchasing or procurement, (7) research and development, (8) human resource development, (9) and corporate infrastructure.

Expectancy

Expectancy refers to the "effort-performance" relation. Thus, the perception of the individual is that the effort that he or she will put forward will actually result in the attainment of the "performance". This cognitive evaluation is heavily weighted by an individual's past experiences, personality, self-confidence and emotional state.

Macroeconomics

From the Greek prefix makro- meaning "large" and economics; it is a branch of economics dealing with the performance, structure, behavior, and decision-making of an economy as a whole, rather than individual markets. This includes national, regional, and global economies.

Instrumentality

Instrumentality refers to the "performance-reward" relation. The individual evaluates the likelihood or probability that achieving the performance level will actually result in the attainment of the reward.

Valance

Valance is the value that the individual associates with the outcome (reward). A positive valance indicates that the individual has a preference for getting the reward as opposed to, vice-versa, a negative valance that is indicative that the individual, based on his perception evaluated that the reward doesn't fill a need or personal goal, thus he or she doesn't place any value towards its attainment.