Principles of Management Exam 1: Chapters 1,2,3,&4

What is the difference between a closed and open system according to the general social theory? Are organizations considered open or closed systems?

Open: an entity that depends on the surrounding environment for survival Closed: a self-sufficient entity Organizations are open systems

What is a contingent worker and why are they appealing to employers?

Part-timers and other employees who do gap and strong barriers to advancement. 1) Paid at lower rates 2) Can be let go when times are bad

What are the five universal functions of management, also known as POC3, according to Henri Fayol?

Planning, Organizing, Command, Coordination, and Control

Explain McGregor's Theories X and Y.

Theory X: managements traditionally negative view of employees as unmotivated and unwilling workers Theory Y: the positive view of employees as energetic, creative, and willing workers

Define the inequalities in reference to glass ceiling concept

Women continue to experience a significant gender-wage gap and strong barriers to advancement. Women are demanding more equitable compensation and workplace opportunities

Define transnational company.

a futuristic model of a global network of productive units with a decentralized authority and no distinct national identity.

What is the definition of management?

is the process of working with and through others to achieve organizational objectives in a changing environment Five Components of Management 1. working with and through others 2. achieving organizational objectives 3. balancing effectiveness and efficiency 4. making the most of limited resources 5. coping with a changing environment

Define International Management.

is the pursuit of organizational objectives in international and intercultural settings

What is the leading reason U.S. expatriates fail?

job performance

What was Mary Parker Follett's philosophy in reference to the behavioral approach and productivity?

managers should be aware of how complex each employee is and how to motivate employees to cooperate rather than to demand performance from them. Employees were complex human beings with behaviors. Cooperative, units, and self control

List and define the two types of perceptions of time in relation to cultural diversity.

monochronic time: perception of time as a straight-line broken into standard units polychronic time: perception of time as flexible, elastic, and multidimensional

What is the philosophy of the behavioral approach to management?

people deserve to be the central focus

What is the process of managing diversity?

process of creating an organizational culture that enables all employees, including women and minorities, to realize their full potential

What shortcomings do derailed managers possess?

Derailed managers were those who had not lived up to their peers' and superiors' high expectations. 1. Problems with interpersonal relationships 2. Failure to meet business objectives 3. Failure to build and lead a team 4. Inability to change and adapt during a transition One and three involve failure to work effectively with and through others. Descriptions: manipulative, abusive, untrustworthy, demeaning, overly critical, not team players, poor communicators.

What are the five different leadership styles according to the GLOBE researchers? Define each type.

1) Charismatic/Value based: a visionary person who inspires high performance by exhibiting integrity and decisiveness. 2) Team-oriented: an administratively competent person and teambuilder who diplomatically emphasizes common purposes and goals. 3) Participative: a person who actively involves others in both making and carrying out decisions 4) Humane- oriented: a compassionate, generous, considerate and supportive person 5) Self- Protective: a self-centered and status conscious person who tends to save face and stir conflict

What are the five myths regarding older workers?

1) Older workers are less productive than the average worker 2) The costs of employee benefits for older workers is more 3) Older workers are more prone to illness and injury than younger workers 4) Older workers are inflexible about the hours they will work 5) Older workers have a higher absence rate

Frederick Taylor's Scientific Management approach focused on what four areas/ dimensions?

1) Standardization (optimum cutting tool speeds experiment) 2)Time and Task study (shovel experiment) 3) Systematic selection and training (pig iron handling experiment) 4) Pay incentives (all workers want to have high wages)

What are the five approaches to management? Which approach is the oldest and most popular?

1) Universal process approach 2) Operational approach 3) Behavioral approach 4) Systems approach 5) Contingency approach Universal approach is the oldest and the most popular.

What are the four major political strategies managers can employ?

1) campaign financing- formation of political action committees(PAC's) to solicit voluntary contributions from employees. 2) lobbying- garnering political support with formal presentations by company representatives 3) Coalition building- coalitions built around common rallying points 4) Indirect lobbying- employee and consumer letter-writing, telephone, and email campaigns to influence members of legislative bodies.

What are the dimensions of the social environment?

1) demographics 2) managing diversity 3) inequalities 4) New Social Contract between employer and employee

What are the four stages of the evolution of product quality, listed chronologically?

1) fix-it-in approach: rework any defective products identified by quality inspectors at the end of the production process (inspection at end of process) 2) inspect-it-in approach: have quality inspectors sample work in process and prescribe machine adjustments to avoid standard output (inspection at periodic stages) 3) build-it-in approach: make everyone who touches the product responsible for spotting and correcting defects. The emphasis is on identifying and eliminating causes of quality problems (everyone responsible for quality). 4) design-it-in approach: intense customer and employee involvement drives the entire design-production cycle. The emphasis is on continuous improvement of personnel, processes, and product (design quality into product (blueprint stages)). quality leader strive to exceed not just meet the customer's expectations.

How can future managers learn to manage?

1) integrating management theory (formal training and education) and managerial practice (work-study and internships) 2) Observing role models 3) Learning from experiences in the school of hard knocks.

What are the three general political responses for management and how are they defined on the continuum?

1) reactive: defend status quo and actively fight government intervention 2) neutral: "watch and wait" approach 3) proactive: improve performance to avoid political attacks and government intervention

List and define the six stages of the Internationalization Process.

1)Licensing: an agreement between organizations of two different countries to use components created in one country. 2) Exporting: shipping and selling a product to retailers in another country 3) Local Warehouse and Selling: product is shipped to storage facilities in another country before going to retail stores in that foreign country. 4) Local Assembly and Packaging: components are shipped to a foreign countries assembly and packaging plants. 5) Joint Ventures: partnerships between organizations who belonging to two or more different countries. 6) Direct Foreign Investments: outright purchase of a foreign-owned organization.

Managers need vision, authenticity and persistence to handle what four key realities of managing today?

1. The only certainty today is change. Changes in social, economic, technological, and political/legal environments affect managerial decisions. Challenging goals motivate people to strive for improvement and overcome obstacles and resistance to change. 2. Speed, teamwork, and flexibility are the orders of the day from both strategic and operational standpoint. 3. Managers at all levels need to stay close to the customer. Product/service quality is the driving force in the battle to stay competitive. 4. Without continuous improvement and lifelong learning there can be not true economic progress for individuals and organizations alike.

Define effectiveness and efficiency

Effectiveness: entails promptly achieving a stated objective. But given the reality of limited resources, effectiveness is not enough. Efficiency: entails balancing the amount of resources used to achieve an objective against what was actually accomplished. The more favorable the ratio of benefits to costs, the greater the efficiency. Too much emphasis in either direction leads to mismanagement. Balancing effectiveness and efficiency is the struggle for product improvement and sustainability.

What are the three managerial attitudes toward international operations? Explain each attitude.

Ethnocentric: home-country oriented Polycentric: host-country oriented Geocentric: world-oriented

Define the contingency approach?

an effort to determine through research which managerial practices and techniques are appropriate in specific situations.

Define intrapreneurship.

an employee who takes personal responsibility for pushing an innovative idea through a large organization.

Define Managerial Functions

are the general administrative duties that need to be carried out in virtually all productive organizations. Eight functions: controlling, planning, decision making, organizing, staffing, communicating, motivating, and leading

W. Edwards Deming recommended what type of improvements for all operations?

continuous improvement and employee participation

Define issues management

is the ongoing process of identifying, evaluating, and responding to relevant and important social, political, and reputation issues potentially impacting the organization's success

What is the definition of comparative management?

study of how organizational behavior and management practices differ across cultures

What are the two most acceptable leadership styles to use across cultures?

team-oriented and charismatic-valued based

Define the universal approach to management and list two assumptions of the approach?

the administration of all organizations, public or private or large or small, requires the same rational process. Another name is functional and is useful because it specifies what managers should do. 1) purpose may vary, but the core management process remains the same. 2) process can be reduced to a set of separate functions & related principles.

Exploding myths about small business. What is the truth about the 80-Percent-Failure-Rate Myth?

the failure rate for small businesses was 18 percent during their first eight years.

Define innovation process and identify the three steps of the innovation process.

the systematic development and practical application of a new idea. 1) Concept: conceptualization of a new idea 2) Product Technology: development of a working prototype. 3) Production technology: development of an effective and efficient production process

What is a common stumbling block of entrepreneurs?

their organizations outgrow the entrepreneur's ability to manage them. Referred to as founder's disease

What concept did Armand Feigenbaum develop and what did he believed determined quality?

total quality control- the customer determines quality

Define the human relations movement?

was a concerted effort among theorists and practitioners to make managers roe sensitive to employee needs.