Business Final Stuff

Rational decision-making model

1. Define the situation. 2. Describe and collect needed information. 3. Develop alternatives. 4. Decide which alternative is best. 5. Do what is indicated (begin implementation) 6. Determine whether the decision was a good one, and follow up.

Controlling consists of five steps

1. establishing clear performance standards. 2. Monitoring and recording actual performance or results. 3. Comparing results against plans and standards 4. Communicating results and deviations to the appropriate employees. 5.Taking corrective action when needed and providing positive feedback for work well done.

General Agreement on Tariffs and Trade (GATT)

A 1948 agreement that established an international forum for negotiating mutual reductions in trade restrictions.

Corporate social responsibility (CSR)

A business's concern for the welfare of society.

ISO 14001

A collection of the best practices for managing an organization's impact on the environment.

Foreign Subsidiary

A company owned in a foreign country by another company, called the parent company.

Embargo

A complete ban on the import or export of a certain product, or the stopping of all trade with a particular country. U.S embargo on japan in 1941

Countertrading

A complex form a bartering in which several countries may be involved, each trading goods for goods or services for services.

Materials requirement planning (MRP)

A computer-based operations management system that uses sales forecasts to make sure that needed parts and materials are available at the right time and place.

Injunction

A court order directing someone to do something or to refrain from doing something

Trade Surplus

A favorable balance of trade; occurs when the value of a country's exports exceeds that of its imports.

Contract Manufacturing

A foreign company's product of private-label goods to which a domestic company then attaches its brand name or trademark; part of the broad category of outsourcing. For example Taiwanese company Foxconn Technology Group is the worlds largest contract manufacturing company when it comes to electronics, having manufactured products such as the iphone for apple, the kindle fire for amazon, and the xbox one for microsoft.

Licensing

A global strategy in which a firm (the licensor) allows a foreign company (the licensee) to produce its product in exchange for a fee (a royalty).

Job Enlargement

A job enrichment strategy that involves combining a series of tasks into one challenging and interesting assignment.

Job Rotation

A job enrichment strategy that involves moving employees from one job to another.

Import Quota

A limit on the number of products in certain categories that a nation can import.

Strategic Alliance

A long-term partnership between two or more companies established to help each company build competitive market advantages.

Planning

A management function that includes anticipating tends and determining the best strategies and tactics to achieve organizational goals and objectives.

Organizing

A management function that includes designing the structure of the organization and creating conditions and systems in which everyone and everything work together to achieve the organization's goals and objectives.

Controlling

A managment function that involves establishing clear standards to determine whether or not an organization is progressing toward its goals and objectives, rewarding people for doing a good job, and taking corrective action if they are not.

Staffing

A mangement function that includes hiring, motivating, and retaining the best people available to accomplish the company's objectives.

Program Evaluation and Review Technique (PERT)

A method for analyzing the tasks invovled in completing a given project, estimating the time needed to complete each task, and identifying the minimum time needed to complete the total project.

Job Enrichment

A motivational strategy that emphasizes motivating the worker through the job itself.

Enterprise Resource Planning (ERP)

A newer version of materials requirement planning (MRP) that combines the computerized functions of all the divisions and subsidiaries of the firm - such as finance, human resources, and order fulfillment - into a single integrated software program that uses a single database.

Joint Venture

A partnership which two or more companies (often from different countries) join to undertake a major project.

SWOT Analysis

A planning tool used to anaylze an organization's strengths, weaknesses, opportunities, and threats.

Just-in-time (JIT) inventory control

A production process in which a minimum of inventory is kept on the premises and parts, supplies, and other needs are delivered just in time to go on the assembly line.

Continuous Process

A production process in which long production runs turn out finished goods over time.

Intermittent Process

A production process in which the production run is short and the machines are changed frequently to make different products.

Six Sigma Quality

A quality measure that allows only 3.4 defects per million opportunities.

Common market

A regional group of countries that have a common external tariff, no internal tariffs, and a coordination of laws to facilitates exchange; also called a trading bloc. An example is the European Union.

Operations Management

A specialized area in management that converts or transforms resources (including human resources) into goods and services.

Job Analysis

A study of what is done by employees who hold various job titles.

Job Description

A summary of objectives of a job, the type of work to be done, the responsibilities and duties, the working conditions, and the relationship of the job to other functions.

hiearchy

A system in which one person is at the top of the organization and there is a ranked or sequential ordering from the top down of managers who are responsible to that person.

Social Audit

A systematic evaluation of an organization's progress toward implementing socially responsible and responsive programs.

Tariff

A tax imposed on imports.

Virtual Corporation

A temporary networked organization made up of replaceable firms the join and leave as needed.

When the value of a country's exports exceeds that of its imports, the country exhibits a(n):

A trade surplus

Yellow-dog contract

A type of contract that required employees to agree as a condition of employment not to join a union; prohibited by the Norris-LaGuardia Act in 1932.

Organization Chart

A visual device that shows relationships among people and divides the organization's work, it shows who is accountable for the completion of specific work and who reports to whom.

Job Specifications

A written summary of the minimal qualifications required of workers to do a particular job.

When a country has a monopoly on producing a specific product or is able to produce it more efficiently than all other countries it is said to have a(n) ________ advantages.

Absolute

The result of increase in the rate of change in the business environment from causes such as natural disasters and global competition has been the companies must:

Adapt to new technologies Change more quickly than ever before

Advantages and disadvantages of centralized versus decentralized authority

Advantages of Centralized Greater top-management control more efficiency simpler distribution system stronger brand/corporate image Advantages of Decentralized Better adaptation to customer wants More empowerment of workers Faster decision making Higher morale Disadvantages of centralized Less responsiveness to customers Less empowerment inter-organizational conflict lower morale away from headquarters Disadvantages Decentralized Less efficiency Complex distribution system Less top-management control Weakened corporate image

North American Free Trade Agreement (NAFTA)

Agreement that created a free-trade area among the United States, Canada, and Mexico

negotiated labor-management agreement (labor contract)

Agreement that sets the tone and clarifies the terms under which management and labor agree to function over a period of time.

Training and development

All attempts to improve productivity by increasing an employee's ability to perform. Training focuses on short-term skills, whereas development focuses on long-term abilities.

Job Sharing

An arrangement whereby two part-time employees share one full-time job.

Lockout

An attempt by management to put pressure on unions by temporarily closing the business

Vision

An encompassing explanation of why the organization exists and where it's trying to head.

performance appraisal

An evaluation that measures employee performance against established standards in order to make decisions about promotions, compensation, training or termination.

Matrix Organization

An organization in which specialists from different parts of the organization are brought together to work on specific projects but still remain part of a line-and-staff structure.

American Federation of Labor (AFL)

An organization of craft unions that championed fundamental labor issues; founded in 1886.

Tall organizational Structure

An organization structure in which the pyramidal organization chart would be quite tall because of the various levels of management.

Inverted Organization

An organization that has contact people at the top and the chief executive officer at the bottom of the organization chart.

Line Organization

An organization that has direct two-way lines of responsibility, authority, and communication running from the top to the bottom of the organization, with all people reporting to only one supervior.

Multinational Corporation

An organization that manufactures and markets products in many different countries and has multinational stocks ownership and multinational management.

Bureaucracy

An organization with many layers of managers who set rules and regulations and oversee all decisions.

Decentralized authority

An organizational structure in which decision-making authority is delegated to lower-level managers more familiar with local conditions than headquarters management could be.

Centralized Authority

An organizational structure in which decision-making authority is maintained at the top level of management at the company's headquarters.

Flat organizational structure

An organizational structure that has few layers of management and broad span of control.

Mission statement

An outline of the fundamental purposes of an organization.

Insider Trading

An unethical activity in which insiders use private company information to further their own fortunes or those of their family and friends.

Trade Deficit

An unfavorable balance of trade; occurs when the value of a country's imports exceeds that of its exports.

Gantt Chart

Bar graph showing production managers what projects are being worked on and what stage they are in at any given time.

Advantages of doing business globally include:

Bringing ideas for businesses in other countries to new markets Finding financing for a new business in other countries.

Importing

Buying products from another country.

Decision making

Choosing among two or more alternatives.

Agency shop agreement

Clause in a labor-management agreement that says employers may hire nonunion workers; employees are not required to join the union but must pay a union fee.

union shop agreement

Clause in a labor-management agreement that says workers do not have to be members of a union to be hired, but must agree to join the union within a prescribed period.

Brainstorming

Coming up with as many solutions to a problem as possible in a short period of time with no censoring or ideas.

In the book Contented Cows Give Better Milk, the authors attribute the difference in the performance of companies to the __________ and caring the outstanding companies demonstrated for their employees.

Commitment

An _________ _________, or trading bloc, is a regional group of countries with a common external tariff, no internal tariffs, and coordinated laws to facillitate exchange among members.

Common Market

The line organization has direct lines of ________ that extend from the top manager to employees at the lowest level of the organization.

Communication Authority Responsibility

Enron's management committed which of the following ethical violation?

Company executives created off-the-books partnerships to hide losses

The management of Enron committed which of the following illegal acts?

Company executives sold stock prior to their violations becoming public Created off the books partnerships to hide debts

Benchmarking

Comparing an organization's practices, processes, and products against the world's best.

____________ -_____________ ethics codes emphasize preventing unlawful behavior by increasing control and penalizing wrongdoers. _____________-____________ ethics codes define an organization's guiding values, create an environment that supports ethically sound behavior, and stresses shared accountability.

Compliance-Based Integrity based

The definition of ___________ ___________ states: skills that involve the ability to picture the organization as a whole and the relationship among its various parts.

Conceptual Skills

An important factor in enforcing an ethics code is:

Conducting objective investigations Having an ethics officer who is fair

Socially _________ companies are viewed more favorably by consumers

Conscious

Quality

Consistently producing what the customers wants while reducing errors before and after delivery to the customer.

President Kennedy proposed four basic rights of ________

Consumers

Which strategies should a business use when it wants to experiment with a new market without incurring heavy start-up costs?

Contract manufacturin Exporting Licensing

A foreign country's production of private-label goods to which a domestic company then attaches its brand name or trade mark is called:

Contract manufacturing

Corporate __________ includes charitable donations by corporations to nonprofit groups of all kinds.

Corporate Philanthropy

Enhanced forms of philanthropy directly related to the company's competencies are called:

Corporate Social initiatives

Which of the following are dimensions of social performance?

Corporate philanthropy Corporate responsibility Corporate social initiatives

Leading

Creating a vision for the organization and guiding, training, coaching, and motivating others to work effectively to achieve the organization's goals and objectives.

Groups of employees from different departments who work together on long-term basis are empowered to make decisions without management approval are:

Cross-functional self managed teams

External customers

Dealers, who buy products to sell others, and ultimate customers (or end users), who buy products for their own use.

The United States has had a trade __________ since 1975, when it first started importing more products than it exported.

Deficit

Flexible Manufacturing

Designing machines to do multiple tasks so that they can produce a variety of products.

Organizing includes _________

Designing the structure of the organization and creating conditions and systems in which everyone and everything work together to achieve the organization's goals and objectives.

__________ lowers the value of a nation's currency relative to others.

Devaluation

Reverse Discrimination

Discrimination against whites or males in hiring or promoting.

The selling of products in a foreign country at lower prices than those charged in the producing country is called:

Dumping

Staff personnel

Employees who advise and assist line personnel in meeting their goals.

Line personnel

Employees who are part of the chain of command that is responsible for achieving organization goals.

Affirmative Action

Employment activities designed to "right past wrongs" by increasing opportunities for minorities and women.

_____________ is the term for giving employees the authority to make a decision without consulting the manager and responsibility to respond quickly to customer requests.

Empowerment

Corporate social initiatives

Enhanced form of corporate philanthropy directly related to the company's competencies.

What type of advocacy group applies pressure by naming companies that do not abide by environmental standards?

Environmentalists

Integrity-based ethics codes

Ethical standards that define the organization's guiding values, create an environment that supports ethically sound behavior, and stress a shared accountability among employees.

Compliance-based ethic codes

Ethical standards that emphasize preventing unlawful behavior by increasing control and by penalizing wrongdoers.

The selection of a(n) ____________ __________ is an important part of enforcing an ethics code.

Ethics officer

U.S businesspeople are often accused of ___________, an attitude that your own culture is superior to other cultures.

Ethnocentricity

The _________ __________ is the value of one nation's currency relative to the currencies of other countries.

Exchange Rate

A major benefit of __________ is that selling goods and services to other countries results in an economic boost to the United States.

Exporting

Selling of product to another country is called:

Exporting

The balance of trade is the total value of a nation's __________ compared to its. ___________ over a particular period of time.

Exports Imports

A trade surplus occurs when a country's

Exports are greater than imports

True or False: Trust and cooperation must exist between workers and management, but it is not a prerequisite for positive relationships between businesses or nations.

False

Knowledge management

Finding the right information, keeping the information in a readily accessible place, and making the information known to everyone in the firm.

_________ organization structures respond to customer demands faster because its lower-lever employees have authority and responsibility for making decisions.

Flat organization

The definition of ________ _________ _________ states: the buying of permanent property and businesses in foreign nations.

Foreign direct investment (FDI)

Cafeteria-style fringe benefits

Fringe benefits plan that allows employees to choose the benefits they want up to a certain dollar amount.

About 95 percent of the worlds population lives outside the United States, but many U.S companies, especially small businesses, still do not engage in global trade. Why not?Do you think more small businesses will participate in global trade in the future? Why or why not?

Getting involved in the global trade market involves taking big risks and extensive knowledge of international trade markets, which can be detrimental for a small business.

Enabling

Giving workers the education and tools they need to make decisions.

Companies such as United Parcel Service and Wal-mart have experienced much success by expanding into the _______ market.

Global

Cross-functional self-managed teams

Groups of employees from different departments who work together on a long-term basis.

Top Management

Highest level of management, consisting of the president and other key company executives who develop strategic plans.

The definition of ___________ __________ skill states: skills that involve communication and motivation: they enable managers to work through and with people.

Human Relations Skills

A company's effectiveness and financial performance ae most affected by responsible ______________ ____________ management.

Human resource

Firms may use a combination of departmentalizations techniques to create a (n) _____________ form.

Hybrid Forms

The definition of _______ _______ states: a limit on the number of products in certain categories that a nation can import.

Import Quotas

Motivators

In Herberg's theory of motivating factors, job factors that cause employees to be productive and that give them satisfaction.

Hygiene Factors

In Herzberg's theory of motivating factors, job factors that can cause dissatisfaction if missing but that do not necessarily motivate employees if increased.

Critical Path

In a PERT network, the sequence of tasks that takes the longest time to complete.

Internal customers

Individuals and units within the firm that receive services from other individuals or units.

Whistleblowers

Insiders who report illegal or unethical behavior.

Sovereign Wealth Funds (SWFs)

Investment funds controlled by governments holding large stakes in foreign companies.

Max Weber's principles of organization resembled Fayol's. In addition, Weber emphasized which of the following principles?

Job description Written rules, decision guidelines, and detailed records Consistent procedures, regulations, and policies Staffing and promotion based on qualifications

Participative (democratic) leadership

Leadership style that consists of managers and employees working together to make decisions.

Autocratic leadership

Leadership style that involves making managerial decisions without consulting others.

Free-rein leadership

Leadership style that involves mangers setting objectives and employees being relatively free to do whatever it takes to accomplish those objectives.

The management function that involves creating a vision for the organization, communicating to others, and motivating them to achieve goals is

Leading

Problems arising from differences in antitrust rules, labor relations, patents, copyrights, taxes, and other issues are all considered examples of ______________ and regulatory forces within a global market.

Legal

A licensor may compete by charging a fee known as a royalty for the right to manufacture its product or use its trademark to a foreign company, known as a _________.

Licensing

Rank the strategies lowest to riskest (lowest at the top)

Licensing Exporting Franchising Contract manufacturing International joint ventures and strategic alliances Foreign direct investment

In line-staff structures, staff managers provide advice and support to _________ departments on specialized matters such as finance, engineering, human resources, and the law.

Line

Which of the following have the authority to issue orders and enforce discipline to line workers.

Line managers

PMI

Listing all the pluses for a solution in one column, all the minuses in another, and the implications in a third column.

Devaluation

Lowering the value of a nations currency relative to other currencies. For example, suppose a government has set 10 units of its currency equal to one dollar. To

Which of the following exhibit subtle consequences of treating employees poorly?

Making results look better than they are Hoarding resources Blaming mistakes on others

The process used to accomplish organizational goals through planning, organizing, leading, and controlling organizational resources is __________

Management

Supervisory Management

Managers who are directly responsible for supervising workers and evaluating their daily performance.

In a ________ organization, project managers are in charge of teams made up of members from several departments.

Matrix

The definition of __________ _________ states: the level of management that includes general managers, division managers, and branch and plant managers who are responsible for tactical planning and controlling.

Middle management

A(n) ___________ corporation is an organization that manufactures and markets products in many different countries and has managers and stockholders from many countries.

Multinational

what agreement created a free-trade area among the United States, Canada, and Mexico?

North American Free trade agreement (NAFTA)

the definition of _______ states: specific, short-term statements detailing how to achieve the organization's goals.

Objectives

The emergence of the green movement has affected businesses by

Offering consumers more product choices

Which of Fayol's principles states that materials and people should be placed and maintained in the proper location:

Order

The ___________ function of management designs the structures and systems in which everyone works together to achieve the organization's goals and objectives.

Organizing

principles of organization

Organizing Division of Labor Job specialization

When a company contracts with another company, often in a different country, to perform some or all its functions it is called:

Outsourcing

A foreign subsidiary is a company owned in a foreign country by another company called the:

Parent Company

The balance of ________ is the difference between the flow of money into and out of country.

Payments

Management. by objectives (MBO)

Peter Drucker's system of goal-setting and implementation; it involves a cycle of discussion, review, and evaluation of objectives among top and middle-level managers, supervisors, and employees.

Primitive transportation and storage systems that make local distribution ineffective if not impossible, the lack of clean water, and the lack of effective sewer system are all examples of what type of barrier?

Physical and environmental

___________ is management function that includes anticipating trends and determining the best strategies and tactics to achieve organizational goals and objectives.

Planning

________________ is less formal than decision making and usually calls for quicker action to resolve everyday issues

Problem solving

When the retail price of imported products is increased for the purpose of making domestic goods more competitively priced is called a(n)

Protective tariff

Restructuring

Redesigning an organization so that it can more effectively and efficiently serve its customers.

Which SEC regulations on Fair Disclosure are designed to prevent ________ ________.

Regulation FD

As a result of the green movement, emerging _________ energy industries account for 9 million jobs in the United States.

Renewable-Energy

Social audits should measure such activities as

Respect for human rights

Dumping

Selling product in a foreign country at lower prices than those charged in the producing country.

Exporting

Selling products to another country

Technical skills

Skills that involve the ability to perform tasks in a specific discipline or department.

Conceptual Skills

Skills that involve the ability to picture the organization as a whole and the relationship among its various parts.

Human relations skills

Skills that involves communication and motivation; they enable managers to work through and with people.

Extrinsic reward

Something given to you by someone else as recognition for good work; extrinsic rewards include pay increases, praise, and promotions.

Objectives

Specific, short-term statements detailing how to achieve the organization's goals.

Ethics

Standards of moral behavior; that is, behavior accepted by society as right versus wrong.

How does unethical financial reporting affect a company's stockholders?

Stock prices are likely to fall over the long term The SEC brings charges against those involved CEOs and other important executives are likely to leave the company

Forms of planning

Strategic planning - the setting of broad long-range goals by top managers Tactical Planning - The identification of specific, short-range objectives by lower- level managers Operational planning - the setting of work standards and schedules contingency planning - backup plans in case primary plans fail

time and motion studies

Studies, begun by Frederick Taylor, of which tasks must be performed to complete a job and the time needed to do each task.

Mass customization

Tailoring products to meet the needs of a large number of individual customers.

Process Manufacturing

That part of the production process that physically or chemically changes materials.

Assembly Process

That part of the production process that put together components.

Orientation

The activity that introduces new employees to the organization; to fellow employees; to their immediate supervisors; and to the policies, practices, and objectives of the firm.

Absolute advantage

The advantage that exists when a country has a monopoly on producing a specific product or is able to produce it more efficiently than all other countries. Canadian economy which is rich in low cost land Brazil vs US in banana production

Arbitration

The agreement to bring in an impartial third party (a single arbitrator or a panel of arbitrators) to render a binding decision in a labor dispute.

Goals

The broad, long-term accomplishments an organizations wishes to attain.

Foreign direct investment (FDI)

The buying of permanent property and businesses in foreign nations. Examples include mergers, acquisitions, retail, services, logistics, and manufacturing

ISO 9001

The common name given to quality management and assurance standards.

Production

The creation of finished goods and services using the factors of production: land, labor, capital, entrepreneurship, and knowledge.

Balance of payments

The difference between money coming into a country (from exports) and money leaving the country (for imports) plus money flows from other factors such as tourism, foreign aid, military expenditures, and foreign investment. Country A is sending cars to Country B Country A is debited (the loss payment) Country B is credited (the gain of payment) A credit is made in the balance of payments

Corporate philanthropy

The dimension of social responsibility that includes charitable donations.

Corporate responsibility

The dimension of social responsibility that includes everything from hiring minority workers to making safe products.

Corporate Policy

The dimension of social responsibility that refers to the position a firm takes on social and political issues.

Departmentalization

The dividing of organizational functions into separate units.

Purchasing

The function in a firm that searches for quality material resources, finds the best supplier, and negotiates the best prices for goods and services.

Equity Theory

The idea that employees try to maintain equity between inputs and outputs compared to others in similar positions.

Goal-Setting theory

The idea that setting ambitious but attainable goals can motivate workers and improved performance if the goals are accepted, accompanies by feedback, and facilitated by organizational conditions.

World Trade Organization (WTO)

The international organization that replaced the General Agreement on Tariffs and Trade, and was assigned the duty to mediate trade disputes among nations.

Which of the following are disadvantages of international joint ventures?

The joint venture may become too large and inflexible Shared technology may become obsolete

Middle management

The level of management that includes general managers, division managers, and branch and plant managers who are responsible for tactical planning and controlling.

Chain of command

The line of authority that moves from the top of a hierarchy to the lowest level.

Free Trade

The movement of goods and services among nations without political or economic barriers.

Span of Control

The optimum number of subordinates a manager supervises or show supervise.

Intrinsic Reward

The personal satisfaction you feel when you perform well and complete goals.

Facility Layout

The physical arrangement of resources (including people) in the production process.

Real time

The present moment or the actual time which something takes place.

Transparency

The presentation of a company's facts and figures in a way that is clear and apparent to all stakeholders.

Strategic Planning

The process of determining the major goals of the organization and the policies and strategies for obtaining and using resources to achieve those goals.

Tactical planning

The process of developing detailed, short-term statements about what is to be done, who is to do it , and how it is to be done.

Networking

The process of establishing and maintaining contacts with key managers in and outside the organization and using those contacts to weave strong relationships that serve as informal development systems.

Networking

The process of establishing and maintaining contacts with key managers in one's own organization and other organizations and using those contacts to weave strong relationships that serve as informal development systems.

Selection

The process of gathering information and deciding who should be hired, under legal guidelines, to serve the best interests of the individual and the organization.

Contingency planning

The process of preparing alternatives courses of action that may be used if the primary plans dont achieve the organization's objectives.

Facility Location

The process of selecting a geographic location for a company's operations.

Operational planning

The process of setting work standards and schedules necessary to implement the company's tactical objectives.

Problem Solving

The process of solving the everyday problems that occur. Problem solving is less formal than decision making and usually calls for quicker action.

Statistical Process Control (SPC)

The process of taking statistical samples of product components at each stage of the production process and plotting those results on a graph. Any variances from quality standards are recognized and can be corrected if beyond the set standards.

Management development

The process of training and educating employees to become good managers and then monitoring the progress of their managerial skills over time.

Statistical Quality Control (SQC)

The process some managers use to continually monitor all phases of the production process to ensure that quality is being built into the product from the beginning.

Management

The process used to accomplish organizational goals through planning, organizing, leading, and controlling people and other organizational resources.

Lean Manifacturing

The production of goods using less of everything compared to mass production.

Recruitment

The set of activities used to obtain a sufficient number of the right people at the right time.

Economies of scale

The situation in which companies can reduce their production costs if they can purchase raw materials in bulk; the average cost of goods goes down as production levels increase.

Formal Organization

The structure that details lines of responsibility, authority, and position; that is, the structure shown on organization charts.

Informal Organization

The system that develops spontaneously as employees meet and form cliques, relationships, and lines of authority outside the formal organization; that is, the human side of the organization that does not appear on any organization chart.

Hawthorne Effect

The tendency for people to behave differently when they know they are being studied.

Production Management

The terms use to describe all the activities managers do to help their firms create goods.

Balance of trade

The total value of a nations exports compared to its imports over a particular period. For example if the US imported 1 trillion in goods and services last year, but exported only 750 billion in goods and services to other countries, then the US had a trade balance of negative 250 billion or a 250 billion trade deficit.

Computer-integrated manufacturing (CIM)

The uniting of computer-aided design with computer-aided manufacturing.

Computer-aided design (CAD)

The use of computers in the design of products.

Computer-aided manufacturing (CAM)

The use of computers in the manufacturing of products.

Trade Protectionism

The use of government regulations to limit the import of goods and services.

Exchange rate

The value of one nations currency relative to the currencies of other countries.

Form Utility

The value producers add to materials in the creation of finished goods and services.

Principle of motion economy

Theory developed by Frank and Lillian Gilbreth that every job can be broken down into a series of elementary motions.

Maslow's hierarchy of needs

Theory of motivation based on unmet human needs from basic physiological needs to safety, social, and esteem needs to self-actualization needs.

Comparative advantage theory

Theory that states that a country should sell to other countries those products that it produces most effectively and efficiently, and buy from other countries those products that it cannot produce as effectively or efficiently.

Countries like the United States that have a high standard of living are referred to as industrialized nations. Countries with a lower standard of living and quality of life are called developing counties (or sometimes underdeveloped or less developed countries). What factors prevent developing nations from becoming industrialized nations?

There are many factors but the major factors of why nations do not industrialize is they have little to offer the outside world and they do not have arable land, clean water or minerals.

Which of the following are important reasons to do business globally?

There are more people and countries in the world markets There are many potential customers in other countries

Core Competencies

Those functions that the organization can do as well as or better than any other organization in the world.

Why should a business be managed ethically

To avoid lawsuits TO maintain a good reputation To do the right thing

The definition of _________ _________ states: highest level of management consisting of the president and other key company executives who develop strategic plans.

Top management

When the value of a country's imports is more than its exports, the country exhibits a(n)

Trade Deficit

The definition of ___________ ___________ states: a favorable balance of trade, which occurs when the value of a country's exports exceeds that of its imports.

Trade Surplus

Vestibule training

Training done in classrooms where employees are taught on equipment similar to that used on the job.

apprentice programs

Training programs involving a period during which a learner works alongside an experienced employee to master the skills and procedures of a craft.

Off-the-job-training

Training that occurs away from the workplace and consists of internal or external programs to develop any of a variety of skills or to foster personal development.

True or false: Corporate social responsibility (CSR) and corporate profits can at times go hand in hand.

True

Culture can include which of the following

Values and attitudes Language Religion

Expectancy theory

Victor Vroom's theory that the amount of effort employees exert on a specific task depends on their expectations of the outcome.

Which of the following behaviors create ethical choices, but are not illegal?

Violating a colleagues confidence Using the internet for personal use at work

_________ is a broad explanation of why the organization exists and where it is trying to go

Vision

Organizational (or corporate) culture

Widely shared values within an organization that provides unity and cooperation to achieve common goals.

contigent workers

Workers who do not have the expectations of regular, full-time employment.

Telecommuting

Working from home via computer and modem.

Digital natives

Young people who have grown up using the Internet and social networking.

Grievance

a charge by employees that management is not abiding by the terms of the negotiated labor-management agreement

A common market, also called a trading bloc, is a regional group of countries with:

a common external tariff no internal tariffs

Strike

a union strategy in which workers refuse to go to work; the purpose is to further workers' objectives after an impasse in collective bargaining

An organization must remain flexible and able to __________ to changing times and be successful.

adapt

staff personnel

advise and assist line personnel in meeting their goals, and include those in marketing research, legal advising, information technology, and human resource management

open shop agreement

agreement in right-to-work states that gives workers the option to join or not join a union, if one exists in their workplace

secondary boycott

an attempt by labor to convince others to stop doing business with a firm that is the subject of a primary boycott; prohibited by the Taft-Hartley Act

Union

an employee organization whose main goal is representing its members in employee-management negotiation of job-related issues

Mentor

an experienced employee who supervises, coaches, and guides lower-level employees by introducing them to the right people and generally being their organizational sponsor

Craft Union

an organization of skilled specialists in a particular craft or trade

line personnel

are responsible for directly achieving organizational goals, and include production workers, distribution people, and marketing personnel

frindge benefits

benefits such as sick-leave pay, vacation pay, pension plans, and health plans that represent additional compensation to employees beyond base wages.

Closed shop agreement

clause in a labor-management agreement that specified workers had to be members of a union before being hired (was outlawed by the Taft-Hartley Act in 1947)

Groups of employees from different departments who work together on a long-term basis are called:

cross-functional teams

Tactical planning is ________

developing detailed, short-term statements about what is to be done, who is to do to, and how. Managers or teams of managers at lower levels of the organization normally make tactical plans.

Certification

formal process whereby a union is recognized by the National Labor Relations Board (NLRB) as the bargaining agent for a group of employees

Core Time

in a flextime plan, the period when all employees are expected to be at their job stations

An embargo:

is a complete ban on import or export of a certain product or the stopping of all trade with a particular country Political disagreement have caused many countries to establish embargoes.

Importing is

is buying products from another country.

Those who oppose corporate social responsibility believe that

it is using investors money in ways they did not intend

Industrial unions

labor organizations of unskilled and semiskilled workers in mass-production industries such as automobiles and mining

right-to-work laws

legislation that gives workers the right, under an open shop, to join or not join a union if it is present

Technical skills are the ability to

perform tasks such as filing tax forms or assembling a keyboard

A SWOT analysis is a(n) _________ tool used to analyze an organization's strengths, weaknesses, opportunities, and threats.

planning

union security clause

provision in a negotiated labor-management agreement that stipulates that employees who benefit from a union must either officially join or at least pay dues to the union

________ tariffs are designed to raise money for the government.

revenue

A mission statement should address an organization's

self concept customer needs

Importing involves buying products from other countries while exporting involves:

selling products to other countries

Which of the following tasks are associated with the planning function of management?

setting organizational goals determining resources needed developing strategies to reach those goals

Export assistance centers provide hands-on exporting assistance and trade-finance support for ________ and ________ -sized businesses.

small and medium

Scientific Management

studying workers to find the most efficient ways of doing things and then teaching people those techniques

Knights of Labor

the first national labor union; formed in 1869

Decertification

the process by which workers take away a union's right to represent them

Human Resources Management (HRM)

the process of determining human resource needs and then recruiting, selecting, developing, motivating, evaluating, compensating, and scheduling employees to achieve organizational goals

collective bargaining

the process whereby union and management representatives form a labor-management agreement, or contract, for workers

Bargaining Zone

the range of options between the initial and final offer that each party will consider before negotiations dissolve or reach an impasse

Mediation

the use of a third party, called a mediator, who encourages both sides in a dispute to continue negotiating and often makes suggestions for resolving the dispute

Job Simulation

the use of equipment that duplicates job conditions and tasks so trainees can learn skills before attempting them on the job

common markets are also referred to as what

trading blocs

Shop Stewards

union officials who work permanently in an organization and represent employee interests on a daily basis

Congress of Industrial Organizations (CIO)

union organization of unskilled workers; broke away from the American Federation of Labor (AFL) in 1935 and rejoined it in 1955

sexual harassment

unwelcome sexual advances, requests for sexual favors, and other verbal or physical conduct of a sexual nature

Primary Boycott

when a union encourages both its members and the general public not to buy the products of a firm involved in a labor dispute

Primary boycott

when a union encourages both its members and the general public not to buy the products of a firm involved in a labor dispute

cooling-off period

when workers in a critical industry return to their jobs while the union and management continue negotiations

Free trade is the movement of goods and services among nations:

without political or economic barriers

Compressed Workweek

work schedule that allows an employee to work a full number of hours per week but in fewer days

flextime plan

work schedule that gives employees some freedom to choose when to work, as long as they work the required number of hours or complete their assigned tasks

Supervisory managers are those directly responsible for

workers daily performance evaluating first line workers daily performance

Strikebreakers

workers hired to do the jobs of striking workers until the labor dispute is resolved