BADM 310 Exams

feedback control

Control that gives managers information about customers' reactions to goods and services so corrective action can be taken if necessary.

Management by Objectives (MBO)

A goal-setting process in which a manager and each of his or her subordinates negotiate specific goals and objectives for the subordinate to achieve and then periodically evaluate the extent to which the subordinate is achieving those goals.

Bottom up change

A gradual or evolutionary approach to change in which managers at all levels work together to develop a detailed plan for change.

cross-functional team

A group of managers brought together from different departments to perform organizational tasks.

organizational structure

A formal system of task and reporting relationships that coordinates and motivates organizational members so they work together to achieve an organization's goals.

Mission statement

A broad declaration of an organization's purpose that identifies the organization's products and customers and distinguishes the organization from its competitors.

Operating budget

A budget that states how managers intend to use organizational resources to achieve organizational goals.

Strategy

A cluster of decisions about what goals to pursue, what actions to take, and how to use resources to achieve goals.

Task force

A committee of managers or nonmanagerial employees from various departments or divisions who meet to solve a specific, mutual problem; also called an ad hoc committee.

Top down change

A fast, revolutionary approach to change in which top managers identify what needs to be changed and then move quickly to implement the changes throughout the organization.

functional level strategy

A plan of action to improve the ability of each of an organization's functions to perform its task-specific activities in ways that add value to an organization's goods and services.

business level strategy

A plan that indicates how a division intends to compete against its rivals in an industry.

Corporate level strategy

A plan that indicates in which industries and national markets an organization intends to compete.

SWOT analysis

A planning exercise in which managers identify organizational strengths (S) and weaknesses (W) and environmental opportunities (O) and threats (T).

Joint venture

A strategic alliance among two or more companies that agree to jointly establish and share the ownership of a new business.

achievement orientation

A worldview that values assertiveness, performance, success, and competition.

Individualism

A worldview that values individual freedom and self-expression and adherence to the principle that people should be judged by their individual achievements rather than by their social background.

short term orientation

A worldview that values personal stability or happiness and living for the present.

Collectivism

A worldview that values subordination of the individual to the goals of the group and adherence to the principle that people should be judged by their contribution to the group.

nurturing orientation

A worldview that values the quality of life, warm personal friendships, and services and care for the weak.

long-term orientation

A worldview that values thrift and persistence in achieving goals.

licensing

Allowing a foreign organization to take charge of manufacturing and distributing a product in its country or world region in return for a negotiated fee.

Strategic alliance

An agreement in which managers pool or share their organization's resources and know-how with a foreign company, and the two organizations share the rewards and risks of starting a new venture.

hierarchy of authority

An organization's chain of command, specifying the relative authority of each manager.

functional structure

An organizational structure composed of all the departments that an organization requires to produce its goods or services.

divisional structure

An organizational structure composed of separate business units within which are the functions that work together to produce a specific product for a specific customer.

market structure

An organizational structure in which each kind of customer is served by a self-contained division; also called customer structure.

Product structure

An organizational structure in which each product line or business is handled by a self-contained division.

Geographic structure

An organizational structure in which each region of a country or area of the world is served by a self-contained division.

Product team structure

An organizational structure in which employees are permanently assigned to a cross-functional team and report only to the product team manager or to one of his or her direct subordinates.

Matrix structure

An organizational structure that simultaneously groups people and resources by function and by product.

bureaucratic control

Control of behavior by means of a comprehensive system of rules and standard operating procedures.

Concurrent Control

Control that gives managers immediate feedback on how efficiently inputs are being transformed into outputs so managers can correct problems as they arise.

economies of scale

Cost advantages associated with large operations. buying in bulk producing large quantities

Brand Loyalty

Customers' preference for the products of organizations currently existing in the task environment. Like Apple

multidoestic strategy

Customizing products and marketing strategies to specific national conditions.

differentiation strategy

Distinguishing an organization's products from the products of competitors on dimensions such as product design, quality, or after-sales service.

business level plan

Divisional managers' decisions pertaining to divisions' long-term goals, overall strategy, and structure.

low cost strategy

Driving the organization's costs down below the costs of its rivals.

Related diversificaton

Entering a new business or industry to create a competitive advantage in one or more of an organization's existing divisions or businesses.

Unrelated diversification

Entering a new industry or buying a company in a new industry that is not related in any way to an organization's current businesses or industries.

Diversification

Expanding a company's business operations into a new industry in order to produce new kinds of valuable goods or services.

Vertical integration

Expanding a company's operations either backward into an industry that produces inputs for its products or forward into an industry that uses, distributes, or sells its products.

barriers to entry

Factors that make it difficult and costly for an organization to enter a particular task environment or industry.

Control Systems

Formal target-setting, monitoring, evaluation, and feedback systems that provide managers with information about how well the organization's strategy and structure are working.

Functional level plan

Functional managers' decisions pertaining to the goals that they propose to pursue to help the division attain its business-level goals.

Decentralizing authority

Giving lower-level managers and nonmanagerial employees the right to make important decisions about how to use organizational resources.

Values

Ideas about what a society believes to be good, right, desirable, or beautiful.

Planning

Identifying and selecting appropriate goals and courses of action; one of the four principal tasks of management.

Job enlargement

Increasing the number of different tasks in a given job by changing the division of labor.

Task Environment

The set of forces and conditions that originates with suppliers, distributors, customers, and competitors and affects an organization's ability to obtain inputs and dispose of its outputs. These forces and conditions influence managers daily.

Economic Forces

Interest rates, inflation, unemployment, economic growth, and other factors that affect the general health and well-being of a nation or the regional economy of an organization.

Mores

Norms that are considered to be central to the functioning of society and to social life.

Global Environment

The set of global forces and conditions that operates beyond an organization's boundaries but affects a manager's ability to acquire and utilize resources.

Distributors

Organizations that help other organizations sell their goods or services to customers. Like UPS and Post Office

Potential Competitors

Organizations that presently are not in a task environment but could enter if they so choose.

Competitors

Organizations that produce goods and services that are similar to a particular organization's goods and services.

Integrating mechanics

Organizing tools that managers can use to increase communication and coordination among functions and divisions.

Political and legal forces

Outcomes of changes in laws and regulations, such as deregulation of industries, privatization of organizations, and increased emphasis on environmental protection.

technological forces

Outcomes of changes in the technology managers use to design, produce, or distribute goods and services.

Demographic Forces

Outcomes of changes in, or changing attitudes toward, the characteristics of a population, such as age, gender, ethnic origin, race, sexual orientation, and social class.

Synergy

Performance gains that result when individuals and departments coordinate their actions.

Hypercompetition

Permanent, ongoing, intense competition brought about in an industry by advancing technology or changing customer tastes.

sociocultural forces

Pressures emanating from the social structure of a country or society or from the national culture.

wholly owned foreign subsidiary

Production operations established in a foreign country independent of any local direct involvement.

Globalization

The set of specific and general forces that work together to integrate and connect economic, political, and social systems <em>across</em> countries, cultures, or geographical regions so that nations become increasingly interdependent and similar.

concentration on a single industry

Reinvesting a company's profits to strengthen its competitive position in its current industry.

Global Strategy

Selling the same standardized product and using the same basic marketing approach in each national market.

franchising

Selling to a foreign organization the rights to use a brand name and operating know-how in return for a lump-sum payment and a share of the profits.

focused low cost strategy

Serving only one segment of the overall market and trying to be the lowest-cost organization serving that segment.

focused differentiation strategy

Serving only one segment of the overall market and trying to be the most differentiated organization serving that segment.

national culture

The set of values that a society considers important and the norms of behavior that are approved or sanctioned in that society.

Line manager

Someone in the direct line or chain of command who has formal authority over people and resources at lower levels.

Staff manager

Someone responsible for managing a specialist function, such as finance or marketing.

Strategic Leadership

The ability of the CEO and top managers to convey a compelling vision of what they want the organization to achieve to their subordinates.

clan control

The control exerted on individuals and groups in an organization by shared values, norms, standards of behavior, and expectations.

Value chain

The coordinated series or sequence of functional activities necessary to transform inputs such as new product concepts, raw materials, component parts, or professional skills into the finished goods or services customers value and want to buy.

Power distance

The degree to which societies accept the idea that inequalities in the power and well-being of their citizens are due to differences in individuals' physical and intellectual capabilities and heritage.

uncertainty avoidance

The degree to which societies are willing to tolerate uncertainty and risk.

Strategy Formulation

The development of a set of corporate, business, and functional strategies that allow an organization to accomplish its mission and achieve its goals.

Organizational culture

The shared set of beliefs, expectations, values, and norms that influence how members of an organization relate to one another and cooperate to achieve the organization's goals.

scenario planning

The generation of multiple forecasts of future conditions followed by an analysis of how to respond effectively to each of those conditions.

Free-Trade Doctrine

The idea that if each country specializes in the production of the goods and services that it can produce most efficiently, this will make the best use of global resources.

Time horizon

The intended duration of a plan.

Organizational ethics

The moral values, beliefs, and rules that establish the appropriate way for an organization and its members to deal with each other and with people outside the organization.

Organizational change

The movement of an organization away from its present state and toward some preferred future state to increase its efficiency and effectiveness.

Span of control

The number of subordinates who report directly to a manager.

Organizational architecture

The organizational structure, control systems, culture, and human resource management systems that together determine how efficiently and effectively organizational resources are used.

Authority

The power to hold people accountable for their actions and to make decisions concerning the use of organizational resources.

Job design

The process by which managers decide how to divide tasks into specific jobs.

Organizational design

The process by which managers make specific organizing choices that result in a particular kind of organizational structure.

Benchmarking

The process of comparing one company's performance on specific dimensions with the performance of other high-performing organizations.

job simplification

The process of reducing the number of tasks that each worker performs.

global outsourcing

The purchase or production of inputs or final products from overseas suppliers to lower costs and improve product quality or design.

Flokways

The routine social conventions of everyday life.

social structure

The traditional system of relationships established between people and groups in a society.

General Environment

The wide-ranging global, economic, technological, sociocultural, demographic, political, and legal forces that affect an organization and its task environment.

Corporate level plan

Top management's decisions pertaining to the organization's mission, overall strategy, and structure.

Norms

Unwritten, informal codes of conduct that prescribe how people should act in particular situations and are considered important by most members of a group or organization.

feedforward control

control that allows managers to anticipate problems before they arise