MGMT 3000 Test 1

GLOBE Project

-Nine dimensions that explain cultural differences -5 additional value dimensions on top of Hofstede's

Subsets of Management Science

-Operations research -Operations Management -Information Tecnology

Contingency View

-Organizational phenomena exist in logical patterns -Managers devise and apply similar responses to common types of problems

Labor Market

-People in the environment who can be hired to work for the organization -Not the employees, the market in which we choose employees

Name each of the GLOBE Project's value dimensions (9)

-Power Distance -Uncertainty Avoidance -Individualism and Collectivism -Masculinity/Femininity -Assertiveness -Future Orientation -Gender Differentiation -Performance Orientation -Humane Orientation

Demographic Characteristics

Norms, customs, and values of a population

High-Context Culture

People are sensitive to circumstances surrounding social exchanges

Unity of direction

People at the top have all the power and the people at the bottom have none

Implicit Communication

People send and receive unspoken cues, such as tone of voice or body language, in addition to the explicit spoken words when talking to others

Low-Context Culture

People use communication primarily to exchange facts and information; meaning is derived primarily from words

Employee Engagement

The emotional commitment the employee has to the organization and its goals (Not employee happiness or job satisfaction)

Universalist View

There is one best way

What did Frank and Lillian Gillbreth pioneer?

Time and motion studies to promote efficiency

Compensatory Justice

individuals should be compensated for the cost of their injuries by the party responsible

Staff Managers

responsible for departments that support the organization's line departments with specialized advisory or support functions

Organizational Effectiveness

the degree to which the organization achieves a stated goal, or succeeds in accomplishing what it tries to do

Hawthorne Studies

-1927-1932 in Western Electric Hawthorne Works in Chicago -HBS professor Elton May studied productivity and work conditions

European Union

-27-nation alliance to improve economic and social conditions among members -A powerful single-market system for Europe's millions of consumers, allowing people, goods, and services to move freely

Henri Faylor

-A major contributor to the administrative principles of management -Listed 14 general principles of management

What is the criteria for a decision to be considered ethical?

-Acceptable by the professional community -Manager would not hesitate to publicize decision on the evening news -Person would typically feel uncomfortable explaining to family and friends

Define the Natural Factor of the General Environment

-All elements that occur naturally on earth, including plants animals, rocks, and natural resources such as air, water, and climate -Organizations must show sensitivity concerning their environmental impact

Downside of Partnerships

-Shared revenue -Risk of partner gaining inside information of the other company

What is the General Agreement on Tariffs and Trade (GATT)?

-Signed by 23 nations in 1947 -People use communication primarily to exchange facts and information; meaning is derived primarily from words

Current Sociocultural Trends on the General Environment

-Technologically savvy customers -Growing diversity -Aging population -Work/life balance

General Environment Factors

-Technology -Natural -Sociocultural -Economic -Legal/Political

Spauldings 8 Fundamental Necessities (only need to know 5)

1. Authority and responsibility 2. Division of labor 3. Adepquate manpower 4. Cooperation 5. Work

Polycentric Companies

oriented toward the markets of individual foreign host countries

Organizational Efficiency

refers to the amount of resources used to achieve an organizational goal

General Managers

responsible for several departments that perform different functions

Why is exporting less risky?

since there is no overseas infrastructure and can pull out quickly and cheaply

High Performance

the attainment of organizational goals by using resources in an efficient and effective manner

Nudge Management

Applying behavioral science insights in organizational design to guide people toward behaviors that support organizational goals and values

Strategic Issues

Events or forces either inside or outside an organization that are likely to alter its ability to achieve its objectives

Case view

Every situation is unique

Toxic Culture

Exists when persistent negative sentiments and infighting cause stress, unhappiness, and lowered productivity among subgroups of employees

Define the Legal/Political Factor of the General Environment

Government regulations at local, state, and federal levels, as well as political activities

Long-Term Orientation

Greater concern for the future and highly values thrift and perseverance

Moral Rights Approach to Ethical Decisionmaking

Humans have fundamental rights and liberties that cannot be taken away by an individual's decision

Scientific Management

Improve efficiency and labor productivity through scientific methods

Political Instability

Includes riots, revolutions, civil disorders, and frequent changes in government

What does knowing an employees' needs allow you to do?

It allows you to guide them to the right hierarchy for maximum satisfaction

What does nudge management discourage?

It discourages using orders and directions and replace with giving choices and through providing enabling environment and encouragement

How do bureaucratic organizations view ownership?

It should be seperate from management

Controlling

Monitor activities and make corrections

Utilitarian Approach to Ethical Decisionmaking

Moral behavior produces the greatest good for the greatest number

Justice Approach to Ethical Decisionmaking

Moral decisions must be based on standards of equity, fairness, and imparity

Short-Term Orientation

More concerned with the past and present and places a high value on tradition and meeting social obligations

What do many new managers expect from their role?

More freedom to make changes

Story

Narrative based on true events that is repeated and shared among organizational employees

Ethnocentrism

Natural tendency of people to regard their own cultures as superior and to downgrade or dismiss other cultural values

Is it more important to focus on efficiency or effectiveness?

Neither, they are equally important

Supply Chain

Network of multiple businesses and individuals that are connected through the flow of products or services

Symbol

Object, act, or event that conveys meaning to others

Partnerships

Partners with a local company in a foreign market

What is the fastest, cheapest, and least risky way to get into global markets?

Partnerships

Subsystems

Parts of a system that depend on one another

Customers

People and organizations that acquire goods or services from the organization

Suppliers

People and organizations that provide the raw materials that the organization uses to produce its output

Acceptance Theory of Authority

People can choose to follow management orders

Ceremony

Planned activity at a special event that is conducted for the benefit of an audience

Why is it diffucult doing business with China?

Regulations and government policies

Middle Managers

Responsible for business units and major departments

Functional Managers

Responsible for departments that perform a single task

Line Mangers

Responsible for departments that perform core function of an organization (i.e. Make the food in a resturant or generate the revenue directly from the product)

Lower Level Managers

Responsible for production of goods or services

Top Managers

Responsible for the entire organization

What did Henry Gantt develop?

The Gantt chart

Efficiency

The ability to accomplish something with the least amount of wasted time, money, and effort or competency in performance.

Systems Thinking

The ability to see the distinct elements of a situation as well as the complexities

U.S.-Mexico-Canada Agreement (USMCA)

The agreement that replaced NAFTA increased environmental and labor regulations and incentivized the domestic production of cars and trucks.

What are administrative principles focused on?

The entire organization

Globalization

The extent to which trade and investments, information, social and cultural ideas, and political cooperation flow between countries

Synergy

The whole is greater than the sum of its parts

BREXIT

Withdrawal of UK in 2020

What do administrators actions and decisions get recorded as in Bureaucratic Organizations?

Writing

Organization

a social entity that is goal directed and deliberately structured

Effectiveness

The degree to which something is successful in producing a desired result; success.

External Organizational Environment

All outside elements that could affect the organization

Management Science

Applies mathematics, statistics, and other quantitative techniques to management decision making, and problem solving

What do successful managers do?

Build teams and networks

Which country has a top 2 market?

China

Peter Drucker

Father of Modern management. Thought management is about human beings. Its task is to make people capable of joint performance, to make their strengths effective and their weaknesses irrelevant

Most popular ethical dilema

Heinz Dilema

What does internet of things help with?

Helps with managing the supply chain, or the sequnce of suppliers and purchases

Division of Labor in Bureaucratic Organizations

Labor is divided with clear definitions of authority and responsibility

Who introduced Bureaucratic Organizations?

Max Weber

Which company's management system is perfectly following scientific management system from producing to selling?

McDonald's

How do bureaucratic organizations manage organizations?

On an impersonal, rational basis

Competitors

Organizations in the same industry or type of business that provide goods or services to the same set of customers

How are Positions Organized in a Bureaucratic Organization?

Organized in a hierarchy of authority

Slogan

Phrase or sentence that succinctly expresses a key corporate value

How does the humanistic perspective compare to scientific management?

The humanistic perspective focuses on the importance of people rather than engineering techniques

What does studying management history help you understand?

The impact of social forces on organizations

Moral Agent

The individual who must make an ethical choice in an organization

International Management

The management of business operations conducted in more than one country

Political Risk

The risk of loss of assets, earning power, or managerial control due to political changes or instability in a host country

Euro

The single European currency that replaced national currencies in many European countries

Uncertainty Avoidance

Uncomfortable with unstructured, ambiguous, and unpredictable situations

Humanistic Perspective

Understanding human behaviors, needs, and attitudes in the workplace

Leading

Using influence to motivate employees

Time Management

Using techniques that enable you to get more done in less time and with better results, be more relaxed, and have more time to enjoy your work and your life

Individualism

Value for a loosely knit social framework in which individuals are expected to take care of themselves

Codified Law

Values and standards written into the legal system and enforceable in the courts

Femininity

Values relationships, cooperation, group decision making, and quality of life

Under what conditions do employees perform better?

When managers treat them better

Organizational Development

Who is likely to have observed people working in an attempt to find a more efficient way of performing the job?

Focus on Humanity of Production

management focus is on meeting human needs for greater motivation and engagement to increase effectiveness

Focus on Things of Production

management focus is on production efficiency via organization design and workflow systems and control

Internet of Things

"Smart" devices and chips that communicate to other devices

Theory X

-Average human has an inherent dislike of work and will avoid it if possible -Because of an inherent dislike of work, most people must be coerced, controlled, directed, or threatened with punishment to get them to put forth adequate effort toward the achievement of organized objectives -The average human being prefers to be directed, wishes to avoid responsibility, has relatively little ambition, and wants security above all

Theory Y

-Average human is intrinsically motivated to do well at work and seek additional responsibility -The expenditure of physical and mental effort in work is as natural as play or rest. The average human being does not inherently dislike work -The capacity to exercise a relatively high degree of imagination, ingenuity, and creativity in the solution of organizational problems is widely (NOT narrowly) distributed in the population

What was found via the Hawthorne Studies?

-Brighter lights lead to increased productivity -Having cubicles set up increases productivity

3 Dimensions fo the Global Mindset

-Cognitive Dimension -Psychological Dimension -Social Dimension

Visible Level of Corporate Culture

-Culture that can be seen at the surface level -Artifacts, such as dress, office layout, symbols, slogans, ceremonies

Task Environment Factors

-Customers -Competitors -Suppliers -Labor Market

Invisible Level of Corporate Culture

-Deeper values and shared understandings held by organization members -Underlying assumptions and deep beliefs, such as "people here care about one another like a family"

What are the contributions of scientific management?

-Demonstrated the importance of compensation for performance -Initiated the careful study of tasks and jobs -Demonstrated the importance of personnel selection and training

What is the general approach of Scientific Management?

-Developing standard methods for performing each job -Selecting workers with appropriate abilities for each job -Training workers by planning their work and eliminating interruptions -Providing wage incentives to workers fro increased output

What are some criticisms of scientific management?

-Did not appreciate the higher needs of workers -Did not acknowledge variance among individuals -Tended to regard workers are uninformed and ignored their ideas and suggestions

Today's Effective Manager Does What?

-Does more with less -Engages employees' hearts, minds, and energy -Inspires vision and cultural values that allow people to create a collaborative and productive workplace

Classical Perspective

-Emerged during the 19th and early 20th centuries during the rise of the factory system -Large complex organizations required new approaches to coordination and control

Internal Environment Factors

-Employees -Culture -Management

What terms/theories (2) did Mary Parker Follett and Chester Barnard create?

-Empowerment -Acceptance Theory of Authority

In the international dimension, what must managers consider?

-Events originating in foreign countries -New opportunities for U.S. companies in other countries -New competitors, suppliers, and customers -New technological, social, and economic trends

Task Environment

-Factors that affect organizations directly -The sectors that conduct day-to-day transactions with the organization

Types of Managers in the Horizontal Structure

-General Managers -Functional Managers -Project Managers -Line Managers -Staff Managers

What did USMCA establish tougher rules on?

-Labor and environmental standards -New provisions for e-commerce and information technology

Characteristics of a Multinational Corporations

-Managed as integrated worldwide business systems -Controlled by a single management authority -Regard the entire world as one market

World Trade Organization (WTO)

-Maturation of GATT into permanent global institute -164 member countries by July 2016

Name each of Hofstede's Value Dimensions (5)

-Power Distance -Uncertainty Avoidance -Masculinity/Femininity -Fifth Dimension Developed Later

Impacts of technology on the general environment

-Products/services produced -Process by which product/service is produced

What is the emphasis from the human resources perspective?

-Satisfied workers produce more work -Allows workers to use their full potential by shifting emphasis to workers' daily lives and combining job design and motivation

Characteristics of managers day-to-day (3 Things)

-Work at unrelenting pace -Interrupted constantly -Ad hoc meetings

Assumptions of Theory X and Y

-Workers need to be adjusted based on the work -Assumptions about a manager from their employees

Maslow's Hierarchy of Needs (lowest to highest)

1. Physiological (survival; Food, clothes and shelter) 2. Safety (job security) 3. Love and Belonging Needs (friendship) 4. Esteem 5. Self-Actualization

Fayol's 5 Functions of Management

1. Planning 2. Organizing 3. Commanding 4. Coordinating 5. Controlling

What are the 4 Functions of Management?

1. Planning 2. Organizing 3. Leading 4. Controlling

Four Subfields of the Classical Perspective

1. Scientific Management 2. Bureaucratic Management 3. Administrative Principles 4. Management Science

What Do Managers Do? (5 Things)

1. Set Objectives 2. Organize 3. Motivate and Communicate 4. Measure 5. Develop People

What are the 3 forces that affect management practices and perspectives?

1. Social forces 2. Political forces 3. Economic forces

3 Categories of Management Skills

1. Technical 2. Human 3. Conceptual

Structure of Vertical Management (Top to Bottom)

1. Top Level Management 2. Middle Level Mangers 3. Lower Level Managers

Faylor's 14 Principles of Management (Only need to know 4)

1. Unity of command 2. Division of work 3. Unity of direction 4. Scalar chain

Gantt Chart

A bar graph that measures planned and completed work

Joint Venture

A company shares costs and risk with another firm, typically in the host country, to develop new products, build a manufacturing facility, or set up sales a distribution network

The Factory System

A new way of making products that began during the industrial revolution. The factory system used powered machinery, division of labor, and unskilled workers in a centralized workplace to mass-produce products

What is the relationship between ethical and socially responsible behavior and a firm's financial performance?

A positve, but weak correlation

Ethical Dilemas

A situation where right and wrong cannot be clearly defined, thus there is often no real clear right answer as every alternative has a downside

Global Mindset

Ability of managers to appreciate and influence individuals, groups, and organizations that possess different social, cultural, political, institutional, intellectual, and psychological characteristics

Boundary Spanning

Actions that link to and coordinate the organization with key elements in the external environment

Individualism Approach to Ethical Decisionmaking

Acts are considered moral if they promote the individual's best long-term interests

How do technological advances affect the general environment?

Advances drive competition and help innovative companies gain market shares

Organizing

Assign responsibility for task accomplishment

Management

Attainment of organizational goals in an effective and efficient manner through planning, organizing, leading, and controlling organizational resources

How are personnel selected and promoted in Bureaucratic Organizations?

Based on technical qualifications

Distributive Justice

Bases decisions on prevailing standards, society, and all stakeholders

Practical Approach to Ethical Decisionmaking

Bases decisions on prevailing standards, society, and all stakeholders

Free Choice

Behavior not covered by law and for which an individual has complete freedom

Scalar Chain

Chain of command through an organization

What does the Internet of Things change?

Changes the way we communicate

Ethics

Code of moral principles and values that governs the behaviors of a person or group with respect to what is right or wrong

Motivate and Communicate

Create teamwork via decisions on pay, promotions, etc., and through communication

Organize

Divide work into manageable activities and select people to accomplish tasks

What is the main criticism of scientific management?

Does not take into account the social context of work

Unity of command

Each person reports ot only one person

Define the Economic Factor of the General Environment

Economic health of the country/region in which the organization operates

What does the Internet of Things increase?

Efficiency

Radical Decentralization

Employees have authority to make key decisions about their work, eliminating much of hierarchical reporting

Global Outsourcing

Engaging in the international division of labor so that work activities can be done in countries with the cheapest sources of labor and supplies

Set Objectives

Establish goals for the group and decide what must be done to achieve them

Future Orientation

Extent to which a society encourages planning for the future over short-term results

Assertiveness

Extent to which a society encourages toughness, assertiveness, and competitiveness

Gender Differentiation

Extent to which a society maximizes gender role differences

Humane Orientation

Extent to which a society places emphasis on performance and rewards people for improvement

Performance Orientation

Extent to which a society places emphasis on performance and rewards people for improvement

Empowerment

Facilitating instead of controlling employees

General Environment

Factors that affect organizations indirectly

Hero

Figure who exemplifies the deeds, character, and attributes of a strong corporate culture

Hofstede's Value Dimsenions

Four (or 5?) dimensions of national value systems that influence organizational and employee working relationships

Who is likely to have observed people working in an attempt to find a more efficient way of performing the job?

Frederick Taylor

Sociocultural Characteristics

Geographical distribution, population density, age and education levels

Max Weber

German Theorist who introduced the concepts of bureaucratic organizations

What does globalization lead to?

Leads to increasing interdependence among countries, businesses, and people

What is one of the greatest challenges new managers face?

Learning to manage time effectively

How long do managers spend on individual activities?

Less than 9 minutes

Power Distance

Level of acceptance of inequality in power among institutions, organizations, and people

Charles Clinton Spaulding

Major contributor to the administrative principles of management who outlined 8 fundamental neccesities for organizations

What did Frederick Winslow Taylor's study find?

Management decisions should be based on precise procedures

How do bureaucratic organizations see managers using their power?

Managers in a bureaucratic organization should use their power instead of personality to delegate

Big Data Analyitics

Managers must determine what method will work in every new situation

What must managers determine based on contigency view?

Managers must determine what method will work in every new situation

What must managers identify based on contingency view?

Managers must determine what method will work in every new situation

Collectivism

Preference for a tightly knit social framework in which individuals look after one another and organizations protect their members' interests

Masculinity

Preference for achievement, heroism, assertiveness, work centrality (with resultant high stress), and material success

What was work like before the factory system?

Products were made one at time by individual workers. The work was generally performed at a small workshop or at home. As machinery became larger and more expensive, factories were formed

Serving the Bottom of the Pyramid

Proposes that corporations can alleviate poverty and other social ills as well as make significant profits by selling to the world's poorest people

Multinational Corporation

Receives more than 25% of its total sales revenues from operations outside parent's home country

Develop People

Recognize the value of employees and develop this critical organizational asset

What do bureaucratic organizations depend on?

Riles and records

Procedural Justice

Rules must be administered fairly

What is Big Data Analyitics a descendant of?

Scientific management and recent iteration of quantitative approach

Planning

Select goals and ways to attain them

System

Set of interrelated parts that function as a whole to achieve a common purpose

Corporate Culture

Set of key values, beliefs, understandings, and norms shared by members of an organization

Measure

Set targets and standards; appraise performance

Exporting

Strategy in which the corporation maintains its production facilities within their home nation and ships its products for sale in foreign countries

What did Peter Drucker Teach?

Successful leaders should put people and ethics first rather than focusing entirely on profits and rigid rules and work structures

Organizational Ecosystem

System formed by the interaction among a community of organizations in the environment

Two levels of External Organizational Environment

Task Environment and General Environment

Artificial Intelligence

Techniques by which computer systems learn, communicate, and make decisions similar to or better than human beings can Does the work that humans find unsatisfying

What did McGregor formulate?

Theory X and Theory Y regarding workers' motivation

Is radical decentralization based on theory X or theory Y?

Theory Y

What Rules and Procedures are Mangers Subject to in Bureaucratic Organizations?

They are subject ot rules and procedures that will ensure reliable, predictable behavior

What happens to the application of management skills as managers move up the hierarchy?

They change

What hierarchy levels did factory workers achieve?

They got food, shelter, and clothing, so level 1-3, but nothing higher

What is the central idea of nudge management?

To indirectly influence individuals without taking freedom of choice

Ethnocentric Companies

place emphasis on their home countries

When do employees flourish based on radical decentralization?

when given more responsibility and control over their own work

What did Frederick Winslow Taylor propose?

workers "could be retooled like machines"

Geocentric Companies

world oriented and favor no specific country