MCE Exam 2

Value Chain

The set of activities through which a product or service is created and delivered to customers.

Strategic Objectives

lay out target outcomes concerning a company's market standing, competitive position, and future business prospects

value statement

list of key values or ideological themes considered important for organization

Vision shoulds

meaningful, simple, picture a desirable future, emphasize distant ideological objectives, be challenging but realistic

Control

measuring performance and taking action to ensure desired results

how to set objectives

must be specific and quantifiable or measurable

referent power

occurs when others idolize, identify with, and/or are inspired by the person Ex celebrities and social media influencers

broad differentiation strategy

offer unique product attributes that a wide range of buyers find appealing and worth paying for

Three Skills Managers Need

technical, human, conceptual

vision steps 4

test your vision

strategy

the coordinated set of actions that managers take to outperform organization's competitors and achieve superior success

strategy

the coordinated set of actions that mangers take to outperform organization's competitors and achieve superior success

Yerkes-Dodson Law

the principle that performance increases with arousal only up to a point, beyond which performance decreases

Management

the process of getting things done effectively and efficiently, with and through people

Accountability

the requirement of one person to answer a higher authority

enacted values

the values you see a company actually enacting/practicing

Conceptual

thinking analytically, work with abstract ideas, solve complex problems

purpose of the objective

to convert the vision and mission into specific performance targets

technical

use expertise, perform tasks with proficiency, apply strong skill set to operations

decisional

using information to make decisions

upside-down pyramid

view of organizations that puts consumers at the top and position upper levels of management as supporters of lower levels of management

espoused values

what an organization says its values are

sustainable

when the advantage persists despite the best efforts of competitors to match or surpass

value congruence

when the values align

human

work well with others, relate to people, develop social capital, build and manage relationships

objectives

an organizations specific performance target

visions

creates an idealized future state for your organization that everyone is motivated to pursue wholeheartedly

Planning your organization

emergent - mission, vision, and values strategic and financial objectives

vision steps 3

engage others get others to buy into the vision

Informational role of a manager

exchanging and processing information

strategic/financial objectives

tangible outcomes or results to be achieved

manager

- a person that uses influence to set and achieve goals - a person who directly supervises, supports, and activates work effort to achieve performance goals of individuals, groups, and organizations

Accounting

- daily sales, expenses, and profits - inventory control, customer records, and payroll Helps with: - tax planning and financial forecasting -choosing sources of financing and wiring requests for funds

human resources

- deciding labor needs - recruiting and selecting the right people -training and development for growth - rewards and development for growth - rewards and culture for retention - motivating for performance

Manager vs Leader: Leader

- influence, groups, goals - does not need to be associated with position - establishing vision - aligning people - motivating and inspiring

Manager vs. Leader: Manager

- influence, groups, goals -based on position and authority - planning and budgeting - organizing and staffing - controlling and problem solving

manufacturing plan

- plant size -machinery required - production capacity

non-managerial employees

- work directly on tasks - not responsible for overseeing others' work

Supply chain considerations

-inventory and inventory control-methods - location of plants and distributors -transportation costs

vision steps 1

Imagine the invisible see the positive future state in your mind's eye

SMART goals

Specific, Measurable, Attainable, Realistic, Timely

Small Business Administration

US government agency that advises and assists small businesses by providing management, financial advice, and loans

goal setting theory

a theory that says that specific and difficult goals, with feedback, lead to higher performance

Reward power

ability to control the allocation of rewards value by others, or remove negative sanctions Ex. professor can reward with grades

coercive power

ability to harm, penalize, or punish someone Ex a mugger with a gun demanding your wallet

Organize

arranging tasks, people, and other resources to accomplish to work

legitimate power

associated with having status or form job authority. There is a mutual agreement that people in certain roles can request certain behaviors of others Ex. police officers

values

beliefs, traits, and behavioral norms that company personnel are expected to display in conducting the company's business and pursuing its strategic vision and mission

expert power

capacity to influence others by possessing knowledge or skills that they value. Based on perception of competence Ex Einstein

Missions

clearly states organization's products/services, constituent group or market the org serves, constituent needs that org seeks to satisfy, unique identity of org

Financial Objectives

communicate management's goals for financial performance

Operations

deciding on logistics

project objectives

defined in terms of successful completion of complex activities

Positional sources

derived from the formal roles you hold in an organization, a social system, or society

personal source

derived from your unique personal attributes and skills that lead others to respect, idolize, adore, trust, like and/or view you as an expert and knowledgeable

Mission Statement

describes purpose of organization

Crowdfunding

donation based or debt-investment (peer-to-peer lending)

significant value in panning

forces you to get creative about possible futures stimulates learning and creativity \aids in contingency planning and risk management

visions should nots

genric, run on, complicated plan with quantitative objectives, overly broad language, emphasize immediate tangible benefits or dwell on the present, be wishful

venture capitalists

individuals or companies that invest in new business in exchange for partial ownership of those businesses

low-cost leadership

industry's lowest cost producer

lead

inspiring people to work hard to achieve high performance

interpersonal

interacting with people

Consumer Market

people with unsatisfied wants and needs who have both the resources and willingness to buy

Proactive

planned initiatives to improve the company's financial performance and secure a competitive edge

Angels

private individuals who invest their own money in potentially hot new companies before they go public

broad low-cost strategy

produce goods or services for a broad base of buyers at a lower cost than rivals

reactive

responses to unanticipated developments and fresh market conditions

vision steps 2

see the same picture in the same way that you have in your mind

Plan

setting performance objectives and deciding how to achieve them

competitive advantage

some type of edge over rivals in attracting buyers and competing with competitive forces

slogans

statements used to summarize and communicate values in simple terms