MGMT 309

Focus

concentrates on a specific regional market, product line, or group of buyers

Porter's Generic Strategies

cost leadership, differentiation, cost focus, differentiation focus

Computer aided manufacturing

design moves smoothly to production

Cellular Layouts

families of products can follow similar flow paths. In one section they build one part and in another, the other part.

Manufacturing

form of business that combines and transforms resources into tangible outcomes.

Computer assisted manufacturing (CAD)

uses computers to design parts and complete products and to simulate performance so that prototypes need not be constructed

Strategic management

way of approaching business opportunities and challenges. It is an ongoing process aimed to achieve effective strategies.

Maslow's Hierarchy of Needs

(level 1) Physiological Needs, (level 2) Safety and Security, (level 3) Relationships, Love and Affection, (level 4) Self Esteem, (level 5) Self Actualization

GE Business Screen

- Helps determine asset allocation -

BCG Matrix

- Stars are businesses that have the largest share of rapidly growing market - Cash cows are business that have large market share and low growth - Dogs are business that have low market outlook and low market share -

Porter-Lawler Extension of Expectancy Theory

-assumptions: if performance results in equitable and fair rewards, people will be more satisfied. high performance can lead to rewards and high satisfaction.

distinctive competence

1. may depend on historical circumstances that others cannot replicate 2. its nature and character might not be well understood 3. Complex social phenomena that is difficult to recreate

Unrelated diversification

1. stable performance overtime 2. Resource allocation advantages. Can place resources where potential is. But... 1. corp. level managers are not as useful b/c broadness 2. competitive disadvantage, w/o synergies

Percentage interest needed to unionize

30%

Sustained competitive advantage

A company's strategies enable it to maintain above-average profitability for a number of years after imitations have ceased.

Workers' compensation

A form of insurance paid by the employer providing cash benefits to workers injured or disabled in the course of employment.

Statistical Quality Control(SQC)

A process used to continually monitor all phases of the production process. Acceptance sampling involves sampling finished goods to ensure quality. In-process sampling is another method in SQC.

Flexible

Allows personnel to have some control over their work schedules but have two work times: core and flex times. Core is hours of a workday that the employee must work.

Robot

Any artificial device that can perform functions ordinarily thought to be appropriate for human beings

related diversification

Basis: Similar tech, distribution, marketing, reputation, or customers. 1. reduced economic risk 2. reduce overhead costs by managing 3. Can exploit multiple strengths

Purchasing Management

Buying materials and resources needed to produce products and services

Purchasing Management (procurement)

Buying materials and resources needed to produce products and services

Computer integrated manufacturing

CAD and CAM are linked and computer networks automatically adjust machine placements and settings to enhance both the complexity and flexibility of scheduling

Transnational Strategy

Carefully assigns responsibilities for various tasks to the unit best fit. Can be centralized or decentralized.

Capacity

Choosing the amount of products, services, or both that can be produced by the organization. - risky because of future demand uncertainty

Multidomestic Strategies

Collection of relatively independent subsidiaries that focus on specific domestic markets. Customers in every country are different. Effective when: Costs are low, clear differences among national markets, economic scale is low

Organizational Importance of Quality

Competition, Productivity, Costs

GE Business Screen

Competitive Position: -Market Share, Tech know how, product quality, service network, price competitiveness, operating costs Industry attractiveness: market growth, Market size, Capital Requirements, competitive intensity

Strategy

Comprehensive plan for accomplishing an organizations goals

Home Replication Strategy

Core competency or firm specific advantage taken to foreign markets

Wage-level

Decision to pay labor rates above, below, or commensurate with going rates in the geographic region is a wage-level decision

Total Quality Management

Efforts by the organization to make quality a guiding factor in everything the org. does. -Strategic Commitment: Objective goal and not abstract, and quality carries costs so investment is needed by top managers. -Employee involvement: make person doing the job responsible for making sure it is done right -Technology: Equipment to make sure precision and consistency are present -Materials: Quality of materials used -Methods: Methodology can improve product and service quality.

Quality

Features of a product or service that bear on its ability to satisfy needs. Eight Dimensions: -Performance: operating characteristic -Features: supplements -Reliability: probability of malfunction -Conformance: Meet standards -Durability: Measure of product life -Serviceability: Speed and ease of repair -Aesthetics: looks, feels, tastes, smells -Perceived Quality: Seen by customer

Differentiation Strategy

Finance to allow funds to encourage creativity and innovation Manufacturing must keep inventory on hand and emphasize quality

Overall Cost Leadership

Finance: Keep costs low and reduce as much as possible Manufacturing: Increase volume and reduce cost per unit

Process Layout

Hospitals or custom piece furniture. Product goes to different stations across the facility to develop.

Product-Service Mix

How many and what kinds of products or services a company offers

Job enrichment

Increase # of tasks and control

Job Enlargement

Increasing amount of tasks

Prospective

Innovative and growth oriented. Encourage creativity and flexibility, adopt decentralized organization structure, Middle and lower level managers have increased responsibility.

Product Layout

Large quantities of a single product work best with this layout. Assembly lines.

Facilities

Location and layout. Physical locations where products or services are created, stored, and distributed

Globalization

Macro: - property ownership arrangements vary widely - natural resources vary, infrastructure, government Behavioral: - culture and national boundaries Ethics and social responsibility

Operations Management

Managerial activities used by an organization to transform resource inputs into products or services Bad: - lower quality and productivity Good: - Competitiveness and performance as well as enhancing quality and productivity

Inventory control

Managing orgs. raw materials, work in progress, finished goods and products in transit.

Traditional approach

Money is primary motivation for workers

Human Resource Approach

Mutual contributions between organization and person.

ERG theory of motivation

Peoples needs are grouped into three possible categories: existence, relatedness, and growth.

Automation

Process fully or fully executed by machines

Recruiting

Process of attracting qualified people to apply for positions

Selecting

Process of choosing a capable or the most capable job candidate

Supply Chain Management

Process of managing operations control, resource acquisition and purchasing, and inventory so as to improve overall efficiency and effectiveness.

Miles and Snow Typology

Prospector strategy, Defender strategy, Analyzer strategy, Reactor strategy

Defender

Protects current market hold and stability. Downplay creativity and innovation, lower costs, and improve performance.

Scope

Range of markets in which an organization will compete in.

Integrating Framework

Recognize the interdependence of units within the organization. This framework suggests managers use all available tools properly and in accordance to each situation by taking into consideration: Motivation, Leadership, Communication, and Group Processes.

Training (HRM)

Refers to teaching operational or technical employees how to do the job which they were hired

Wage structure

Relative value that jobs contribute to orgs. performance

Flexible Manufacturing Systems

Robotic units, assembly lines, and robotic carts that move material from one system to another

Leadership substitute

Routineness, availability of feedback and intrinsic satisfaction are all substitutes for leadership

Technology

Set of processes and systems used by organizations to convert resources into products or services.

Human Relations approach

Social aspects of work help motivate workers such as feeling useful and important.

BCG Matrix

Stars: High Growth High Market share Cash Cows: High Market share, low growth Dogs: low market share, low growth Question marks: High growth, low market share

Systems Perspective

Stepping back to view an entire process to see how each component connects with the others. Inputs, process, outputs, feedback. - Transformation process: Tech or managerial processes that convert inputs to outputs

Job Analysis

Systematic analysis of the organizations jobs

Predictive Valudation

Take test before being hired then review test scores to performance a year later

Content Validation

Take test to qualify job-fit

Development (HRM)

Teaching managers and professionals the skills needed for both present and future jobs

Value-added analysis

The evaluation of all work activities, material flows, and paperwork to determine the value they add for customers.

Introduction Stage

The initial stage of a product's life cycle; its first appearance in the marketplace, when sales start at zero and profits are negative

Leadership neutralizer

The need for a leadership role being removed

Cycle time

Time needed by org. to develop, make, and distribute products or services.

Employee information system or skills inventory

Track internal supply of people and their skills

Contingency Perspective

Universal theories cannot be applied because each organization is unique.

Fixed-position Layout

Useful when creating very large and complex products. Product does not move and workers work around the product.

Benchmarking

a process by which a company compares its performance with that of high-performing organizations

Six Sigma

a rigorous statistical analysis process that reduces defects in manufacturing and service-related processes

Political Behavior

actions not officially sanctioned by an organization that are taken to influence others in order to meet one's personal goals

Inventory Control

activities to ensure that goods are always available to meet customers' demands

Just-in-time method

an inventory system that has necessary materials arriving as soon as they are needed so that the production process is not interrupted

Emergent Strategy

any unplanned strategic initiative bubbling up from the bottom of the organization

Analyzer

holds current market but has moderate emphasis on innovation tight finance but high flexibility, efficient production, and creativity with low costs.

Forecasting

human resource demand and supply involves estimating the organizations future need

Replacement Chart

lists each position and who should be considered for the position

Outsourcing

obtain (goods or a service) from an outside or foreign supplier, especially in place of an internal source.

Effective strategies

promote superior alignment between the organization and its environment

Reactor

reacts to the environment and doesn't have a clear strategy

Maturity Stage

stage of the product life cycle when industry sales reach their peak, so firms try to rejuvenate their products by adding new features or repositioning them

Decline Stage

stage of the product life cycle when sales decline and the product eventually exits the market

Growth Stage

stage of the product life cycle when the product gains acceptance, demand and sales increase, and competitors emerge in the product category

Two-Factor Theory of Motivation

survey of 200 accountants and engineers about what satisfied them and motivated them. Motivation and Hygiene Factors.

single-product strategy

survival is dependent on the single product.

Aggregate Productivity

the total level of productivity for a country

Porter's Five Forces

threat of entry, threat of substitute, supplier power, buyer power, and competitive rivalry