MGT Test 2 Homework

Product Division

Mr. Hernandez oversees the television division

Clan & Hierarchy

You work best when your tasks are highly structured. You also enjoy learning and want to continue to develop as a professional.

Corporate

What business are we in? What products and services shall we offer? What joint ventures and/or acquisitions should we pursue?

Behavioral

Pei is very people-oriented. When making decisions, he enjoys social interactions in which opinions are openly exchanged. He is receptive to suggestions and tends to avoid conflict.

Question Marks

Risky new ventures of which some will take off, others will not

Weaknesses

The equipment the company owns is last generation and does not have the latest technology. Management does not provide a big budget to support the world-class staff that work for the company.

Unexploited

Is the firm organized to exploit the resources or capability?

Be More Resourceful

Avery's work team just found out they've done way over budget while working on a new initiative. Upon realization, Avery asked the group to conduct a brainstorming sessions around the causes of exceeding the budget. The group them brainstormed solutions to the top three causes. Isla's virtual team is researching new software programs that they hope will allow them to work simultaneously on projects. After spending a few days trying one they hoped would work, they've realized it's not the right fit for their needs and they've wasted days on it. They spend the rest of the week venting over email about their frustrations.

Business

How much should we set aside for new product development? What sum will we allocate toward facilities expansion? What amount should we invest in employee development?

Simple Structure

Ms. Fineberg has low work specialization and few rules in her position

Customer Division

Ms. Nguyen is the head of commerical accounts

Geographic Division

Ms. Orlov is in charge of the company's European markets

Dogs

Slow growth, not much market share-should get rid of these

Mechanistic Organizations Characteristics

Narrow span of control, specialized tasks, many rules and procedures, taller structure, centralized hierarchy of authority, formalized communication, few teams or task forces, best for companies operating in stable environments

Analytical

Ursula has a high tolerance for amibiguity but focuses on technical aspect more than socail aspects. She is a careful decision maker, taking longer to make decisions but acting well in new situations.

Defer Judgement

Avoid immediately reacting to a suggestion with "that will never work." Remember to avoid criticizing ideas during the initial idea-generating phase.

Disadvantages to Group Decision Making

Decisions may be made quicker using satisficing. A small group of people may talk longest and loudest. Group members will strive for unanimity. Sometimes other issues will arise and take precedence.

Watch for Communication Blocks

Taye calls Everett's point "stupid" during their discussion. Cameron reminds himself to speak calmly and use relaxed body language.

Bargaining Power of Suppliers

Walmart demanded that all its vendors cut their prices by 15 percent

Framing Bias

When she was looking at leasing a new car, Rosa noticed that the car salesman focused more on the monthly payment than on the overall cost of the leave versus buying it outright.

Disadvantage

Does the resources or capability allow your firm to exploit an opportunity or neutralize a threat?

Organic Organizations Characteristics

Few rules and procedures, many teams or task forces, decentralized hierarchy of authority, flatter structure, informal communication, wider span of control, shared tasks, best for companies that need to respond to rapidly changing consumer tastes

Clan & Market

Frank likes to work in a fun atmosphere where there's a good amount of healthy competition between employees and where everyone is highly involved with the organization.

Bargaining Power of Buyers

If you don't like the price of something at your local store, you can probably find it online with two-day shipping at a lower price

Hierarchy

Leslie works for a pharmaceutical company with a corporate culture that institutes a variety of control mechanisms to measure efficiency, timeliness, and reliability in the creation and delivery of products. Aaron works for a computer company whose corporate culture is characterized by a formalized, structured work environment aimed at achieving effectiveness.

Engage in Lateral Thinking

Melia often purposefully plays the devil's advocate during work meetings because she thinks it's important to help her team avoid potentially costly decisions. When Samir hears an idea that he strongly opposes during a department meeting, he usually keeps quiet about it. He doesn't want to upset the positive atmosphere among his colleagues.

Tactical Planning

"Her department plans to introduce 10 revolutionary new lures to the company's already exciting lineup of products over the next two years."

Strategic Planning

"To grow the company by 50% over the next five years."

Threat of Substitute Products or Services

Consumers are drinking less diet soda in favor of things like flavored zero calorie water and fresh juices

Representativeness Bias

Trinity tried a new sales technique with a new client. It worked! She now assumes that this technique will also work with all of her current clients.

Build on the Ideas of Others

Try to focus on extending the ideas of other people. Instead of saying "but", try to using "and".

Directive

Ellis has a low tolerance for ambiguity. He is efficient, logical, practical, and systematic in his approach to solving problems.

Stars

High growth rate, high market share-a definite keeper

Temporary

Is the resource or capability costly for other firms to imitate?

Hindsight Bias

A new company offering office supplies opened up and Sai decided to try the new vendor, not knowing if their service would be any good. After a few months of good service, Sai looked back and felt he knew he had picked a winner all along.

Rites & Rituals

Managers are encouraged to email one subordinate each week who they've noticed is doing the right thing, even when it's difficult, and congratulate them. Managers copy Khurana on the email so that she is aware of the employees' choices and able to congratulate them herself.

Establish the mission,vision, and values statements

"Enjuba exists to better represent the quality and handiwork of the African people through fair trade that benefits the producers, customers, and society at large."

Encouraging Wild Ideas

Get excited about outrageous ideas. Praise people for thinking totally outside of the box.

Organizational Systems & Procedures

Elision is adopting new software that will allow its compliance division to better track employee transactions

One Conversation at a Time

Set ground rules such as "no disrespecting coworkers" before you begin brainstorming. Make it clear that no one may interrupt another person who is sharing an idea.

Growth

The R&D and marketing departments make some alterations to a current product with the intention of attracting new customers. The top managers are considering a merger.

Measurable & Controllable Activities

Elision is tracking the number of hours of ethics education its employees earn

Leader Reactions to Crises

Ms. Khurana has made public apologies on behalf of the company, instituted through internal investigations, and spends a few days each month meeting with small groups of Elision employees at multiple locations to explain how she's working to restore ethical problems.

Stability

After recent expansion, the company wants to avoid growing too quickly. The R&D and production departments do a great job when we ramp up production, but the customer service department takes time to catch up.

Specific

Goals should be unambiguous and not vague. Dylan tells his interns that he would like for them complete their data entry work more efficiently.

Opportunities

Our product is targeted to young professionals under 35 years of age. The group is growing. Word is that a new highway is being built in the next couple of years, making it easier to transport our products from the factory.

Be Visual

Set up poster boards and use different colors for different types of ideas. Get people to move beyond their one or two favorite ideas by requiring ten or more ideas from each person.

Threats

The company uses a fair amount of short-term debt financed through the bank. Economic projections indicate that interest rates may rise in the future and credit will be more difficult to obtain. There have been several up and coming companies that are beginning to enter our market space.

Advantages of Group Decision Making

There is a greater pool of knowledge to draw from. People bring different perspectives. A group may bring greater intellectual stimulation. Participating in making a decision helps in understanding the rationale for it. Participating in making a decision helps promote commitment to it.

Downsides to Artificial Intelligence

There is the potential for A. I. to be put to malicious use. A. I. is devoid of common sense. It is difficult to progrma machine learning systems to act in ways that are desired and predictable. Unlike humans, A. I. cannot make mistakes.

Market & Adhocracy

Jayden is very comfortable taking initiative and doesn't require a lot of direction on work projects. She is also goal-oriented and enjoys competition.

Formulate corporate, business and functional strategies

Bill and Vance need to develop a one- to five-year strategy that communicates Enjuba's general goals as well as how the goals will be achieved.

Role Modeling, Training & Coaching

Elision employees now spend four hours of paid time each month engaging in continuing education that teaches them about ethics and social responsibility.

Check the Accuracy of Your Past Judgements and Predictions

Everett remembers that even with her years of experience, her intuition hasn't always led her in the right direction. Cameron doesn't mention that his friend hasn't had financial success with her own roaming food truck.

Adhocracy

Wallace works for an advertising agency whose corporate culture encourages employees to take risks and experiment with new ways of getting things done. Miranda works for a new entrepreneurial company that is characterized as being creative, making innovative products, and being adaptable in the marketplace.

Focus-Differentiation Strategy

Goal: Offer unique products/services of superior value, Target Market: Wide. Afterglow Cosmetics sells cosmetics that are manufactured in a gluten-free facility, and all of its products are certified gluten-free. Afterglow cosmetics prices are in line with other high-end cosmetics brands.

Differentation Strategy

Goal: Offer unique products/services of superior value, Target Market: Wide. Starbucks serves premium quality coffee beverages and food items and has over 28,000 locations across the globe. The company also offers bottled versions of some of its products in grocery stored and has a branded liqueur through its partnership with Jim Beam.

Rivalry Among Competitors

On Amazon, the average product's cost changes every ten minutes based on data the company collects including rivals' prices

Defensive

The recent expansion has been successful, but we don't want to spread ourselves too thin. After the recent recession, the company sold off vacant buildings.

Availability Bias

When she traveled to Australia on business recently, Cori assumed the weather would be the same as her home in New York. She soon found out it was winter in Austrailia.

Pause and Seek Feedback

Everett pauses to reflect on the data Taye presented and on whether his disagreement with her view is valid. Cameron really wants to win this argument and prove Taye wrong.

Mission Statement

"His company makes professional-quality products that are accessible to the recreational angler."

Streamlining

"Project managers have the designs complete now and are working to streamline the production tools to maximize efficiencies and thus bring costs down."

Vision Statement

"The company wants to provide a chance for every person to reach his or her highest fishing potential without sacrificing their retirement savings to do it."

Conceptual

Grace has a high tolerance for ambiguity and tends to focus on the social aspects of a situation. She is willing to take risks and is good at finding creative solutions to problems.

Market & Hierarchy

Brandon prefers the chance to perfect the job he's currently doing, ranter than being pressured to constantly change the way he does things. He also works well under pressure and is driven by success.

Encounter Phase

Alani accepted a job offer from Twitter and is currently taking part in their "Yes to Desk" onboarding program, which aims to get new employees ready to his the gound running in their jobs. Tomas just started working for Facebook. He's currently taking part in their six-week boot camp to help new employees learn about their roles and the company's culture simultaneously.

Focus on Being Optimistic

Morgan is frustrated by his company's new performance incentive program because he doesn't think it accurately captures his high level of performance. He wants to go back to the old system and has been expressing his displeasure to his coworkers several times a week for the past two months. Brianna's new supervisor is changing quite a few of her division's routines and procedures. Brianna is looking forward to seeing how these changes might positively impact her workgroup and knows that pretty soon the changes will feel normal.

Confirmation Bias

After finally deciding on what new car to buy. Declan told his friends and colleagues about it, but disregarded the things said by friends who didn't like the model he chose.

Execute the strategies

Bill and Vance intend to put their plan into place and implement it by overcoming any market resistance.

Organizational Goals & Performance Criteria

Elision has built through and validated integrity testing into its selection system for new employees

Values Statement Characteristics

Expresses the company's worldwiew. Is intended to guide all the actions in the organization. Unchanging. As applicable in 100 years as it is today. Limits itself to a small number the employees can use when making deicisions.

Functional Structure

Mr. Allen is the top human resources executive

Stories, Legends, & Myths

Word about Khurana is spreading among employees after many have found news articles outlining her reputation for integrity, personal philanthrophy, and willingness to turn down profitable opportunities when an ethical problem exists.

Adhocracy & Hierarchy

Aniyah has an entrepreneurial spirit and enjoys taking risks. She also believes in delivering work in a n efficient and timely manner.

Maintain strategic control

Bill and Vance must consistently review the market offering against their original plan to ensure that their product is unique and being produced and marketed effectively.

Take Ownership and Accept Responsibility

Ethan let his team down today when he showed a client presentation completely unprepared. He apologized to his team members for his mistake and told them he had no excuse. He made a commitment to not let them down again. Kaitlyn received some constructive criticism from her boss during her annual performance review. She didn't hear anything else her boss told her during the review because she was busy explaining the reasons her co-workers had prevented her from doing a better job.

Attainable

Goals should challenge us but also should be doable. Bethany tries to motivate her personal training clients by telling them she wants them to increase the weight they are lifting by 500 percent.

Target Dates

Goals should include a clear time frame for completion. In early September, Lars tells his team they have until December 1 to devise a new cost reduction plan.

Display a Proactive Learning Orientation

Tariq has the chance to absorb some of his coworker's job duties while his coworker is on leave. Tariq is excited about the opportunity because it will give him a chance to learn a new role and expand his skill set. Wren's company has instituted a new once-per-month continuing education requirement for all employees. Wren is a high performer and doesn't want to waste her time at training. She's confident she already knows everything she needs to know to do her job well.

Strengths

The R&D program at the company produces world-class products. The employees who work for us are highly skilled and leaders in their field.

Slogans & Sayings

At the end of all meetings at Elision, attendees have started saying "We Stand UP" in unision. This reminds employees that the company wants to be upstanding in its endeavors as they go forth to tackle their jobs.

Clan

Caprice works for a regional airlines whose corporate culture encourages employees to collarborate and become involved to increase their job satisfaction. Joseph works for a telecommunications company whose culture devotes considerable resources to hiring and developing employees.

Formal Statements

Elision's values statement now begins with "Committed to Making Things Right" to signify that Elison wants to correct its past mistakes and also operate in the "right" way in all its future endeavors.

Equal

Is the resources or capability currently controlled by only a few firms or no other firms?

Vision Statement Characteristics

Reflects high ideals. Inspires enthusiasm and encourages commitment. Is easily understood and well-articulated. Is appropriate for the times and for the organization.

Physical Design

The walls at Elision were once covered with news stories, photos, and awards representing conquests and profits. The company is slowly removing these items, replacing them with reminders of the company's social impacts, as wll as those of other organizations that have exemplified social responsibility.

Functional

How should our division market our new program? How should we structure compensation for those working on our team's new initiative? What's the best way to integrate our department's latest innovation with older versions of the product?

Applications of Artificial Intelligence

The potential to aid in human decision making. Machines guided by A. I. are faster and more powerful than humans when building and evaluating models and simulations to make predictions. A. I. sensors can alert drivers to potential hazards and accidents. Hospitals use A. I. to monitor patients and predict the risk of death two days earlier than ever before possible. A. I.'s decision-making capabilities will reduce our reliance on human decision making.

Anticipatory Phase

Daniel is searching for a job and finds an organization he's interested in working for. He reads through current employee reviews of the company online and persues the company website. Savannah is in her third round of interviews at ABC corporation and thinks shes may like working there but would like more information. A former classmate already works for the company, so Savannah reaches out to find out more information about the organization's culture.

Rewards, Titles, Promotions & Bonuses

Elision is working hard to reduce its ecological footprint. The company has instituted a program in which employees can receive bonuses on their ridesharing, recycling, and waste reduction efforts.

Market

Olivia works for an investment firm with a culture that focuses on productivity and profits over employee development and satisfaction. Daveed works for a real estate company with a culture that values employees' ability to focus on the customer, react quickly, and deliver quality work on time.

Mission Statement Characteristics

Outlines the organization's customer base. Describes the image the organization wants to project. Illuminated the organization's attitude toward its employees. Articulates the geographical locations where the company completes.

Organizational Structure

The company's compliance division is making suggestions for delayering and reconfiguring that will help employees know where to go when they have questions and concerns

Expand Your Perspective by Asking Different Questions

Thomas just found out he was passed over for a promotion yet again. This is his third time going up for the job. He's not asking himself, "What did I say wrong in my interview?" Madison and her colleague can't seem to agree on anything for their current work project and thier disputes are holding up team decisions. Madison asks herself, "What am I forgetting to consider about my coworker's ideas that may help me see their perspective and understand why they feel so strongly about it?"

Clan & Adhocracy

Victoria likes to work with others and enjoys social interactions with people at and outside work. She likes to keep up with the latest trends, and she find networking helpful for staying on top of new developments in the marketplace.

Overconfidence Bias

After a couple of weeks in his class in corporate finance, Milo decided he should be able to do just as good of a job at making investment decisions as his broker.

Threat of New Entrants

Apple introduced its Homepod to the home sound system market that had been previously dominated by Sonos

Go for Quantity over Quality

Encourage your team to each come up with as many ideas as they can in three minutes. Get people to move beyond their one or two favorite ideas by requiring ten or more ideas from each person.

Measurable

Goals should be quantifiable in some way. Tiana tells her auto salespeople that she expects them to close at least three new car sales per month.

Cash Cows

Have good market share, but slow growth. Income can be used for other winners or potential winners

Broaden Your Task & Functional Knowledge

Idris makes a commitment to have coffee with one person he doesn't know well at his organization each week so that he can learn about their history with the company. Paz has been an attorney for ten years and decides she can stop attending annual continuing education seminars now that she knows everything there is to know about her job.

Dialectic Method

Originated in ancient Greece and is used by the mordern U.S. court system. Attempts to identify a truth or best solution by exploring two opposite positions, called antithesis. Managers structure decisions dialogue in a group around two opposing viewpoints.

Understand the Business

Rex is participating in a job rotation program at his new workplace that gives him the chance to get to know as many aspects of the company as possible. Dahlia is a recent college graduate at her first architectural job. She's just getting started financially and decides not to join her field's major professional association because she thinks it's not worth the annual fee.

Set Aside Time to Reflect

Rosalie blocks out an hour of her work day each Friday to think quietly about what transpired that week at work. Tripp sets aside time for work-related reflection each week. He usually spends the time organizing his to-do list for the upcoming week.

Question Your Beliefs

Taya presents specific data from the small business development association's research that strongly favor stationary food trucks. Everett holds strongly to her argument because of her personal experience with stationary and roaming food trucks.

Sunk-Cost Bias

Zion took his older car to a mechanic and had his transmission rebuilt (a somewhat costly repair). The next week, his brakes quit working. Instead of trading the car in, he put in new brakes as well, since he had already fixed the transmission.

Assess the current reality

Bill and Vance complete an assessment of the market.

Devil's Advocacy

Gets its title from a practice used by the Roman Catholic church. Uses a critic whose job is to explore all possible problems and counteraguments. One person presents their critique to the key decision makers.

Cost-Leadership Strategy

Goal: Keep product/service cost and prices low, Target Market: Wide. Waffle House has over 2,000 locations, keeps a simple menu that rarely changes and most customers' tickets are around $7 or $8. They appeal to a broad range of consumers, including truck drivers, business travelers, college students and families.

Cost-Focus Strategy

Goal: Keep product/service costs and prices low, Target Market: Narrow. Dollar Tree sells all items for $1 and caters to middle-class customers.

Results-Oriented

Goals should somehow be linked to the organization's mission. Quinn's company is very customer-focus. She wants her customer service staff to decrease the time it takes to resolve a customer complaint by 10 percent.

Change & Acquisition Phase

Henley has been with her current company for about six months and is no longer feeling like a "newbie". She's setting short- and long-term performance goals with her supervisor for her primary work projects. Luc was recently honored at his company's annual awards ceremony with a "one year" plaque to symbolize his completition of his first year working for the company.

Escalation of Commitment Bias

Much to the dismay of her friends and colleagues, Amara decided to change cellphone carries. She wasn't happy with the new service, but continued to use it rather than switch back to the carrier all of her friends wanted her to use.

Anchoring and Adjustment Bias

Nishka was looking at buying a new car. After seeing the sticker prices on really expensive models, the lower cost models looked even more attractive!