MGMT 371- Chapter 6

Purpose of goals

Provide guidance and direction for people in the organization, affect quality of planning, service as a source of motivation for employees, provide mechanism for evaluation and control of the organization

Acquisition

Purchase of a firm by another firm that is considerably larger.

Merger

Purchase of one firm by another firm of approximately the same size.

Single use plans is

Designed to deal with a unique and nonrecurring situation, short-term

Cultural awareness

attempts to deal with stereotypes through discussion and exercises

cash cows

have large shares of mature markets

Stars

have large shares of rapidly growing markets

Question marks

have small market shares in quickly growing markets

Prospector

innovative and growth oriented firm, strategies focus on identifying and entering new markets. Risk taker.

Classification of goals

level, area, and time frame

Examples of standing plans

marketing plans for global expansion, product innovation, add/drop plans @ universities

Low levels of intergroup conflict

members within the organization have tolerance for and openly communicate with everyone else

Tactical goals

middle level management

Defender

operating in a stable environment, strategies. Focus on protecting current markets and maintaining stable growth. Risk averse.

Comcast launched TV One, a station geared to African Americans who are 24-54 years old. It does not offer much hip hop. The program selection is part of Comcasts _________ plan

operational goals

Decision Making Under Certainty

the decision maker knows with reasonable certainty what the alternatives are and what conditions are associated with each alternative.

No gap in organizational identification

the firm has eliminated culture, racial, ethnic and gender stereotypers

Full integration of the informal network

the firm has removed all barriers to entry and participation in any and all organization activities

Full structural integration

the internal workforce of the organization mirrors its external labor market

Legal awareness

Legal implications of discrimination

Chief Executive Officer

May serve as president or board chair; has a major role in planning and implementing the strategy.

Kind of goals by level

Mission statement, strategic, tactical and operational goals

Standing Plans

Ongoing guides for action dealing with recurring situations

Failure in goal setting

Poor implementation of the goal setting process Lack of top-management support for goal setting Delegation of the goal-setting process to lower levels Overemphasis on quantitative goals Too much paperwork and record keeping Managerial resistance to goal setting

What does optimizing do

allows managers to balance and reconcile inconsistent or conflicting goals

Vertical Integration

an organization becomes its own supplier and/or distributor

Reactor

- no strategy or plan.

intermediate time frame

1-5 years

What percent do women constitute the workforce since 1994?

46%

Short term time frame

<1 year

Long term time frame

> 5 years

Strategy

A comprehensive plan for accomplishing an organization's goals.

Strategic plans

A general plan set by and for top management that outlines resource allocation, priorities, and action steps to achieve strategic goals. A comprehensive plan for accomplishing an organization's goals

Goals are classified according to their _____ when the terms quality, productivity and innovation are applied to them

A. Area

Using the Boston consulting group matrix, SBUS are classified on the basis of

A. Market share and market growth rate

Which of the following statements about the cost argument for diversity is true?

B. a manager can reduce employee absenteeism and turnover by learning how to manage diversity and multiculturism

According to the planning process described n the text, operational plans flow directly from

B. tactical goals

Executive Committee

Composed of top executives. Meets regularly with the CEO to review strategic plans.

Planning Task Force

Created when the organization wants a special circumstance addressed.

Which of the following statements BEST reflects the proper approach to goal setting?

D. Managers should set goals for their own level in the organization

Business level strategy focuses primarily on

D. The areas in which the firm may have an advantage and how much various organizational part enhances each other

Comcast launched TV One, a station geared to African Americans who are 24-54 years old. It does not offer much hip hop. The program selection is part of Comcasts _________ plan

E. Operational

Which of the following statements about the marketing argument for diversity is TRUE?

E. Organizations with diversity and multiculturalism are better able to understand different market segments than are less diverse organizations

A _____ of choice waste management could be to expand operations in two more countries this year

E. strategic goal

Board of Directors

Establishes corporate mission and strategy. May engage in strategic planning or may approve.

operational goals

First level management

Planning staff

Gathers information, coordinates planning activities, and takes a broader view than individual managers. Permanent

Line Management

Have formal authority and responsibility for management of the organization. Help to formulate strategy by providing information. Responsible for executing the plans of top management.

Dogs

Have small market shares and no growth prospects

Goal setting being successful

Improved employee motivation Enhances communication Fosters more objective performance appraisals Focuses attention on appropriate goals and plans Helps identify managerial talent Provides a systematic management philosophy Facilitates control of the organization

Multincultural differences

Increasing globalization of business, immigration patterns

Operational plans

Short-term focus plans that are set by and for lower-level managers

Multiculturalism

The broad issues associated with different values, beliefs, behaviors, customs, and attitudes held by people in different cultures

Decision making under uncertainty

The decision maker does not know all the alternatives, the risks associated with each, or the consequences of each alternative.

Contingency Planning

The determination of alternative courses of action to be taken if an intended plan is unexpectedly disrupted or rendered inappropriate. These plans help managers to cope with uncertainty and change. Anticipates problems and develops solutions for them before they happen.

Scope

The range of markets in which an organization will compete.

Crisis Management

The set of procedures the organization uses in the event of a disaster or other unexpected calamity.

Purposes of mergers and acquisitions

To diversify through vertical integration. To acquire complementary products or services linked by a common technology and common customers. To create or exploit synergies that reduce the combined organizations' costs of doing business to increase revenues.

Diversity

When members of a group differ from one another, usually along demographic lines in such characteristics as age, gender, or ethnicity

analyzer

a firm wishing to maintain current markets but also enter new ones. Has elements of prospectors and defenders.

A _____ is an informal group allied together for a common purpose

coalition

When the manager understands the available options are uncertain, the manager is experiencing

decision making under risk

Differentiation

distinguishing your product or service from you competition usually by quality

A _____ strategy is a pattern of action that develops over time in an organization

emergent

Decisions that are routine and deal with situations in which the factors are familiar and have occurred in the past are called ____ decisions

prgrammed

A single-use plan that has a more narrow scope than a program is called

project

Sensitivity training

sensitizes people to the differences among them and how their words and behaviors are perceived by others

Time Frame

specify a date/period by which a goal must be met

_______ exists when the economic value together is greater than the value of the parts

synergy

The ____ argument supports the idea that if managers work effectively with a diverse group the organization as a whole will respond more effectively to its

system flexibility

According to the planning process described n the text, operational plans flow directly from

tactical

Plans that have an intermediate time horizon and are concerned with getting things done are called _____ plans

tactical

Absence of prejudice and discrimination

the organization has eliminated all traces of bias and prejudice

Strategic goals

top level management

pluralism

very group in the organization works to better understand very other group

Mission statement

why the organization exists