MGMT Exam 2
What is involved with Strategic Management?
A process that involves managers from all parts of the organization in the formulation and the implementation of strategies and strategic goals
What is a tactical goal?
A short term goal essentially Generally span 12 months and connected to strategic goals in a hierarchy known as a means-end chain
A goal is
A specific commitment to achieve a measurable result within a stated period of time
What are some advantages and disadvantages to Email?
Advantages: Is quick and low on cost Eliminates telephone tag Speeds up decisions Provides a written record Disadvantages: Is not confidential Can be misunderstood or used to avoid difficult live conversations May not communicate writer's emotional intent May be ignored
Mr. Jones, the department manager, told his employees that he wanted them to write down their work goals for the year. To help his workers achieve their stated goals, the next thing that he should ask for are each worker's
Action plan
Which of the following is not one of the questions Hamel suggests be asked to identify what are the core beliefs that people have about an organization?
Are the visions of high-level management reflected in this belief?
What is involved with the Simple Structure when talking about structures in an organization?
Authority is centralized in a single person with few rules and low work specialization Small firms all over the country are organized in this way An owner An administrative assistant
What is a Mission Statement?
Characteristics of a Good Mission Statement: The mission is the organization's purpose or reason for being; it is expressed in a mission statement. Makes sure to answer these questions: Who are our customers? What are our major products or services? In what geographical areas do we compete? What is our basic technology? What is our commitment to economic objectives? What are our basic beliefs, values, aspirations, and philosophical priorities? What are our major strengths and competitive advantages? What are our public responsibilities, and what image do we wish to project? What is our attitude toward our employees?
Strategic position emerges from three sources:
1. few needs, many customers 2. broad needs, few customers 3. broad needs, many customers
What drives an organizational culture?
1. founder's values 2. industry and business environment 3. national culture 4. organization's vision and strategies 5. behavior of leaders
What are five steps involved in the Planning and Strategic Management process?
1.) Establish the mission and vision and values 2.) Assesss the current reality 3.) Formulate the grand strategy & strategic, tactical, & operational plans 4.) Implement the strategy 5.) Maintain strategic control
What is the Cultural Iceburg?
10% is easy to see = customs, mores, courtesies 90% is difficult to see = values, priorities, assumptions
What is the person-organization fit?
Reflects the extent to which your personality and values match the climate and culture in an organization
What is the Blue Ocean Strategy?
A company creates a new, uncontested market space that makes competitors irrelevant, creates new consumer value, and decreases costs "Competing in overcrowded industries is no way to sustain high performance," the authors write. "The real opportunity is to create blue oceans of uncontested market space." In their book Blue Ocean Strategy, W. Chan Kim and Renee Mauborgne define a "blue ocean" as a completely new market, in contrast to a "red ocean," in which industry boundaries are defined and accepted and the competitive rules of the game are known.
What is organizational structure?
A formal system of task and reporting relationships that coordinates and motivates an organization's members so that they can work together to achieve the organization's goals Concerned with who reports to whom and who specializes in what work To implement a particular strategy, managers must determine the right kind of (1) organizational culture and (2) organizational structure, which mutually influence each other.
What is "Management by objectives (MBO)"?
A four step process for motivating employees. Goes as follows: Managers and employees jointly set objectives for the employee. Managers develop action plans. Managers and employees periodically review the employee's performance. Managers make a performance appraisal and reward the employee according to results. The purpose of MBO is to motivate rather than to control subordinates
What is involved with a strategic plan?
A large-scale action plan that sets the long-term goals and direction for an organization Represents an "educated guess" about what must be done in the long term for the survival or the prosperity of the organization or its principal parts Strategic plans generally reconsidered every year due to everchanging business conditions
What is a strategic goal?
A long term goal basically Tend to pan 1-5 years and focus on achieving the strategies identified in a company's strategic plan
What is an operating plan?
A plan that breaks long-term output into short-term targets or goals Turns strategic plans into actionable short-term goals and action plans
What is involved with a Values Statement?
Characteristics of a Good Values Statement: An organization's values are expressed in a values statement, which should describe what the organization stands for, its core priorities, the values its employees embody, and what its products contribute to the world. Must answer the following questions: Does it express the company's distinctiveness, its view of the world? Is it intended to guide all the organization's actions, including how you treat employees, customers, etc.? Is it tough, serving as the foundation on which difficult company decisions can be made? Will it be unchanging, as valid 100 years from now as it is today? Does it reflect the beliefs of those who truly care about the organization—the founders, CEO, and top executives—rather than represent a consensus of all employees? Are the values expressed in the statement limited (five or so) and easy to remember, so that employees will have them top-of-mind when making decisions? Would you want the organization to continue to hold these values, even if at some point they become a competitive disadvantage?
What is involved with a Vision Statement?
Characteristics of a Good Vision Statement: An organization's vision, its long-term goal of what it wants to become, is expressed in a vision statement, which describes its long-term direction and strategic intent. Must answer the following questions: Is it appropriate for the organization and for the times? Does it set standards of excellence and reflect high ideals? Does it clarify purpose and direction? Does it inspire enthusiasm and encourage commitment? Is it well articulated and easily understood? Does it reflect the uniqueness of the organization, its distinctive competence, what it stands for, what it's able to achieve? Is it ambitious?
What are the four types of Organizational Culture?
Clan Culture (Steady State) - Like a family-type organization, it encourages collaboration among employees, striving to encourage cohesion through consensus and job satisfaction and to increase commitment through employee involvement. Adhocracy culture (Evolution and change) - This type of culture attempts to create innovative products by being adaptable, creative, and quick to respond to changes in the marketplace. Employees are encouraged to take risks and experiment with new ways of getting things done. Example is Google Hierarchy Culture (Steady State) - Companies with this kind of culture are apt to have a formalized, structured work environment aimed at achieving effectiveness through a variety of control mechanisms that measure efficiency, timeliness, and reliability in the creation and delivery of products. Example is Amazon Market Culture (Evolution and change) - Because market cultures are focused on the external environment and driven by competition and a strong desire to deliver results, customers, productivity, and profits take precedence over employee development and satisfaction. Example is Uber
What are some components of the Historical Perspective?
Classical Viewpoint Behavioral Viewpoint Quantitative Viewpoint
What are involved with the components with the Historical Perspective?
Classical Viewpoint - emphasis on ways to manage work more efficiently Behavioral Viewpoint - Emphasis on importance of understanding human bheavior and motivating and encouraging employees toward achievement Quantitative Viewpoint - Applies quantitative techniques to management
What's involved with a Matrix Structure when talking about Organizational Structures?
Combines functional and divisional chains of command in a grid so that there are two command structures: vertical and horizontal In a matrix structure, an organization combines functional and divisional chains of command in a grid so that there are two command structures: vertical and horizontal.
What are the four proposed elements of organizations made by Edgar Schein?
Common purpose: gives everyone an understanding of the organization's reason for being Coordinated effort: the coordination of individual effort into group-wide effort Division of labor: having discrete parts of a task done by different people Hierarchy of authority: making sure the right people do the right things at the right time (unity of command)
What are some social media uses?
Communicating with customers or clients Publicizing or promoting products Communicating internally Networking Evaluating potential employees
_______ involves gathering information about your competitors' activities so that you can anticipate their moves and react appropriately. For example, you may attend a trade show to learn what types of new products and new iPhone apps your competitors are planning to launch in the next six months.
Competitive intelligence
Within her company, Maria utilizes a management style that varies according to the individual and environmental situation, with a strategy for minimizing errors by managing each stage of production. She has also set up a system with inputs, outputs, transformation processes, and feedback. Maria's management perspective is best described as
Contemporary
What are some of Porters competitive strategies?
Cost-leadership strategy : Keep the costs, and hence prices, of a product or service below those of competitors and target a wide market Cost-focus: strategy Keep the costs of a product below those of competitors and to target a narrow market Differentiation strategy: Offers products that are of unique and superior value compared to those of competitors but to target a wide market Focused-differentiation strategy: Offers products that are of unique and superior value compared to those of competitors and to target a narrow market
What is Contingency Planning?
Creation of alternative hypothetical but equally likely future conditions Also called scenario planning and scenario analysis
What is an action plan?
Defines the course of action (the tactics) needed to achieve a stated goal Contains a projected date for completing the desired activities for each tactic
How do you plan the message that you are going to send to an individual or group?
Determining goals Analyzing the audience Gathering information Analyzing and organizing the information Choosing the form, channel, and format In determining goals, writers should ask themselves what a reader should think, feel, do, or believe as a result of reading a message. The writer's communication goals are very much connected, then, to the writer's business goals.
What is Strategic Positioning?
Developed by famous strategist Michael Porter Attempts to achieve sustainable competitive advantage by preserving what is distinctive about a company "Performing different activities from rivals, or performing similar activities in different ways"
What is the BCG Matrix?
Developed by the Boston Consulting Group, the BCG Matrix is a means of evaluating strategic business units on the basis of (1) their business growth rates and (2) their share of the market. Business growth rate is concerned with how fast the entire industry is increasing. Market share is concerned with the business unit's share of the market in relation to competitors. Market growth is divided into two categories, low and high. Market share is also divided into low and high. Stars - Have high growth, high market share and are definite keepers Question marks - Risky new ventures, some will become stars and some will become dogs Cash cows - Have slow growth but high market share, income finance stars and question marks Dogs - Have low growth, low market share, and should be gotten rid of
A company is using a ______ pay structure in which more efficient workers earn higher wages.
Differential rate
What is the difference between Integration and Differentation?
Differentiation - Tendency of the parts of an organization to disperse and fragment Integration - Tendency of the parts of an organization to draw together to achieve a common purpose
What are some further broken down components of the Behavioral Viewpoint in the Historical Perspective?
Early Behaviors Human relations movement - Proposed better human relations could increase worker productivity Behavioral science approach - rules on scientific research for developing theory to provide practical management tools
What's involved with the Behavioral Viewpoint?
Emphasized the importance of understanding human behavior and motivating employees toward achievement Developed over three phases: Early behaviorism The human relations movement Behavioral science
What is the contingency viewpoint?
Emphasizes that a manager's approach should vary according to - that is, be contingent on - the individual and the environmental situation
What is SWOT? What does it stand for?
Environmental scanning Monitoring of an organization's internal and external environments to detect early signs of opportunities and threats that may influence the firm's plans Internal STRENGTHS Internal WEAKNESSES External OPPORTUNITIES External THREATS
What can be said about a mission statement?
Expresses the purpose of the organization What is our reason for being? Why are we here?
What is involved with the Strategic Management Process?
Five Steps: Establish the mission vision and values statement Assess the current reality Formulate the grand strategy Implement the strategy Maintain strategic control All of this then repeats to the beginning (Feedback: Reverse actions, if necessary, based on feedback)
Leela's Home Decorators believes that the demand for its services will expand greatly, because a real-estate developer has just purchased 100 acres in town. The developer is planning to build 1,000 condominium units on the property. The managers of Leela's Home Decorators are making a projection for the future, also known as a
Forecast
What are some common Grand Strategies?
Growth strategy: Involves expansion, as in sales revenues, market share, number of employees, or number of customers Stability: Involves little or no significant change Defensive: Involves reduction in the organization's efforts Retrenchment
What is the Email Form?
Header: includes To, Cc, Bcc Subject: short (5-7 words), clear, and descriptive Salutation: formal, informal, or generic—depends on relationship with recipient Message: to the point Closing: informal or more formal, in keeping with tone Attachment: includes only what reader needs
Abraham Maslow's listing of physiological, safety, love, esteem, and self-actualization needs, and his belief that some of these needs must be satisfied before others, was proposed in his
Hierarchy of human needs
What are the differences between the horizontal dimension and the vertical dimension
Horizontal dimension (inward or outward focus?) - This dimension expresses the extent to which an organization focuses its attention and efforts inward on internal dynamics and employees ("internal focus and integration") versus outward toward its external environment and its customers and shareholders ("external focus and differentiation") Vertical Dimension (flexiblity or stability?) - This dimension expresses the extent to which an organization prefers flexibility and discretion versus stability and control. Combining these two dimensions creates the four types of organizational culture based on different core values—namely, clan, adhocracy, market, and hierarchy.
The father of industrial psychology is
Hugo Munsterberg
What are the three types of objectives used in MBO?
Improvement Objectives: Purpose - Express performance to be accomlished in a specific way for a specific area Personal Development Objectives: Purpose - Express personal goals to be realized Maintenence Objectives: Purpose - Express the intention to maintain performance at previously established levels
The Johnsons decided to beautify their home by investing in landscaping. In the process, they dealt with employees from various departments of the landscaping company, including a sales representative, a designer, the individuals who oversaw and did the work, the office and billing personnel, and the maintenance personnel. From the systems perspective, the people required to provide the landscaping services are considered
Inputs
What are the four parts of a system when talking about the Systems Viewpoint?
Inputs - The people, money, information, equipment, and materials required to produce an organization's goods or services Transformational Processes - The organization's capabilities in management and technology that are applied to converting inputs into outputs Outputs - The products, services, profits, losses, employee satisfaction or discontent, etc. produced by the organization Feedback - Information about the reaction of the envirionment to the outputs, which affects the inputs
What are some components of the Email Etiquette Checklist?
Is your message needed? Is your message for routine or for sensitive material? Is your message spam? Is your recipient list correct? Has everyone necessary been copied? (Don't offend by omission.) Have you proofread carefully? Does your signature avoid offensive quotes?
What can be said about a Vision Statement?
It is a clear sense of the future and the actions needed to get there. What do we want to become? Where do we want to go?
What are some business message forms?
Letters Memos Email Text and Instant Messages Social Media
What are the individual components of the Quality-Management Viewpoint within the Contemporary Perspective?
Quality Control - Strategy for minimizing errors by managing each state of producting Quality Assurance - Focuses on the performance of workers, urging employees to strive for "zero defects" Total quality management - Comprehensive approach dedicated to continuous quality improvement, training, and customer satisfaction
What are the distinguishes between Line Position and Staff Positions when talking about managers and personnel?
Line Position - Line managers have authority to make decisions and usually have people reporting to them. Examples are the president, the vice presidents, the director of personnel, and the head of accounting. Staff Position - Staff personnel have authority functions; they provide advice, recommendations, and research to line managers (examples: specialists such as legal counsels and special advisers for mergers and acquisitions or strategic planning).
What are some further broken down components of the Quantitative Viewpoint in the Historical Perspective?
Management science - Focuses on using mathematics to aid in problem solving and decision making Operations management - Focuses on managing the production and delivery of an organization's products or services more effectively
Why is culture so important?
Many people believe culture powerfully shapes an organization's long-term success by enhancing its competitive advantage.
What is involved with Competitive Intelligence?
Means gaining information about one's competitors' activities so that you can anticipate their moves and react appropriately Sources of information include public print and advertising, investor information, informal sources Successful companies make it a point to conduct competitive intelligence. This is a search of publications, advertising, investor information, and other informal sources of information, to ensure that you know what your competitors are up to.
Give an example of a mission statement and vision statement using Hilton Hotels
Mission Statement: "To be the preeminent global hospitality company—the first choice of guests, team members, and owners alike." Vision Statement: "To fill the earth with the light and warmth of hospitality."
Francis, who is starting a painting business, plans to write down the purpose of his painting business and his company's reason for being. Francis is writing his
Mission statement
Quality Vacuum has been manufacturing excellent vacuum cleaners for over 50 years. In the employee break room is a banner that reads, "We will always provide the highest-quality vacuums at the lowest cost to our customers and always give honest, winning customer service, thereby earning a fair profit for our stakeholders." This statement is Quality Vacuum's
Mission statement
What are some of the fundamentals of planning? What are the steps/concepts of them?
Mission statement: "what is our reason for being" Vision statement: "What do we want to become" Values statement: "What values do we want to emphasize"
Managers in a plumbing company have been having problems with employees starting cliques. To develop more of a team culture, the CEO suggested utilizing Mary Parker Follett's belief: companies should
Operate as a community, with employees working in harmony
Donna is the service desk coordinator in a department store, and she has set a goal this month of finishing her daily office work quicker so she can assist at the Service Desk earlier in the morning. She knows this will also help decrease theft, which will assist the company in achieving its goal of decreasing costs. Donna's goal of finishing her office work quicker is a(n)
Operational goal
What are the links between Strategy, culture, and Structure? How are they aligned with one another effectively?
Organizational culture and organizational structure should be aligned with its vision and strategies. If managers change the strategy of the organization, they need to change the culture and structure to support it. Similarly, as companies grow, the culture and structure need to grow with it.
Stars are _____, according to the BCG matrix. Stars have included Apple and the diamond company DeBeers.
Organizations with high growth and high market share which are definite keepers
What is involved with Divisional Structure when talking about organizational structures? Examples?
People with diverse occupational specialties are put together in formal groups by similar products, customers or geographic regions.
________ is setting goals and deciding how to achieve them.
Planning
What are the components involved in The Planning/Control Cycle?
Planning happens in two steps: (1) Make the plan, and (2) Carry out the plan. Next, control happens in two following steps: (3) Control the direction by comparing the results with the plan, and (4) Control the direction in two ways (correct deviations or improve future plans).
There are three definitions of Planning, what are they>
Planning is defined as setting goals and deciding how to achieve them. Planning is coping with uncertainty by formulating future courses of action to achieve specified results. A plan is a document that outlines how goals are going to be met.
A(n) ________ is a standing plan that outlines the general response to a designated problem or situation.
Policy
What are different types of division groups in divisional structure?
Product divisions group activities around similar products or services. Examples: The media giant Time Warner has different divisions for magazines, movies, recordings, cable television, and so on. Customer divisions tend to group activities around common customers or clients. Examples: Ford Motor Co. has separate divisions for passenger-car dealers, for large trucking customers, and for farm products customers Geographic divisions group activities around defined regional locations. Example: This arrangement is frequently used by government agencies. The Federal Reserve Bank, for instance, has 12 separate districts around the United States.
An organization should adopt planning and strategic management to
Provide direction and momentum, encourage new ideas, and develop a sustainable competitive advantage
Why are planning and strategic management important?
Providing direction and momentum Encouraging new ideas Developing a sustainable competitive advantage
What is the Quality-Management Viewpoint?
Quality Total ability of a product or service to meet customer needs Quality control The strategy for minimizing errors by managing each stage of production Quality assurance Focuses on the performance of workers, urging employees to strive for "zero defects"
Further elaborate on the components of SWOT. How it's divided and what's involved with the components of it.
S - Strengths: inside matters (strengths could be work processes, organization, culture, staff, image, etc.) W - Weaknesses: inside matters (Weakness could be the same categories as stated for strengths: work processes, organizaiton, etc.) O - Opportunities: outside matters (Opportunities could be market segmant analysis, industry & competition analysis, impact of technology on organization, product analysis, other external matters) T - Threats: outside matters (Threats could be in the same categories as stated for Opportunities: market segment analysis, etc.
Frank, the fire chief, told his employees to "Think big and endeavor to be more detailed and caring while at work and in setting goals. Therefore, when you give me your goals, I want them to be specific, measurable, attainable, results-oriented, and have target dates." Frank was asking for his workers'
SMART goals
Dave and his partner are studying the strengths and weaknesses of their construction business, Ajax Construction, as well as researching the opportunities and threats in the external environment. Dave and his partner are conducting a
SWOT analysis
Sofia, a restaurant manager, has been observing and analyzing the work process of the cooks, servers, and bussers because she would like to increase their productivity of employees. Sofia is engaging in ____ management.
Scientific
What are some further broken down components of the Classical Viewpoint in the Historical Perspective?
Scientific management - emphasized scientific study of work methods to improve productivity of individual workers Administrative management - Concerned with managing the total organization
What can be said about scientific management?
Scientifically study each part of the task Carefully select workers with the right abilities Give workers the training and incentives to do the task properly Use scientific principles to plan the work methods
Tom, a production manager, believes that some of his workers are unhappy with their job, so they are not working as hard as they could be. This reduction in effort is known as
Soldiering
What does each of the letters in the term SMART Goal mean?
Specific Measurable Attainable Results-Oriented Target Dates
What are the components of each of the terms used in SMART Goals?
Specific: Goals should be stated in specific rather than vague terms. Measurable: Whenever possible, goals should be measurable, or quantifiable (as in "90% of planes should arrive within 15 minutes"). Attainable: Goals should be challenging, of course, but above all they should be realistic and attainable. It may be best to set goals that are quite ambitious so as to challenge people to meet high standards Results-oriented: Only a few goals should be chosen—say, five for any work unit. And they should be results-oriented —they should support the organization's vision. Target dates: Goals should specify the target dates or deadline dates when they are to be attained.
______________ focus(es) on developing a comprehensive program for long-term success.
Strategic planning
List types of planning done by managers
Strategic planning - Done by top managers for the next 1-5 years. Goals --> Action plans Tactical planning: Done by middle managers for the next 6-24 months. Goals --> Action plans Operational planning: Done by first-line managers for the next 1-52 weeks. Goals --> Action plans
Jeff, the owner of The Toy Box (a toy store), has chosen his products carefully. They are all handmade of wood; none are cheap games made of cardboard and paper. He knows he will be selling his toys to both adults and children; for example, his expensive chess and backgammon sets are quite expensive because the board and pieces are all made of wood by local artists and craftsmen. He knows that his customer base will not include parents who are looking for an inexpensive toy for their children or to give as a birthday gift; there is another store in town that offers mass-produced games. As part of his marketing outreach, Jeff offers "game nights" where he sets up game boards and invites local teens and adults to take part in light-hearted competitions, where the winners receive a 10 percent discount to a game at the Toy Box. All of Jeff's activities are aimed at giving Jeff a sustainable competitive advantage through ______.
Strategic positioning
Many customers have visited Sally's Diner for decades because of the diner's friendly service. Most customers feel that Sally's is the friendliest placed around. In a SWOT analysis, the friendly service at Sally's is an example of a company
Strength
A music teacher asked her students to set a really hard goal, such as increasing their practice time by 10 hours per week, which would cause her students to reach beyond what they think is possible. This is known as a(n)
Stretch goal
What are some observable artifacts, and what is involved with each of them?
Symbols: an object, an act, a quality, or event that conveys meaning to others Stories: narrative based on true events repeated—and sometimes embellished upon—to emphasize a particular value Heroes: person whose accomplishments embody the values of the organization Rites and rituals: activities and ceremonies that celebrate important occasions and accomplishments Organizational socialization: the process by which people learn the values, norms, and required behaviors of an organization
What are the components involved with the Contemporary Perspective?
Systems Viewpoint Contingency Viewpoint Quality-Management Viewpoint
What are the components of the Contemporary Perspective?
Systems Viewpoint Contingency Viewpoint Quality-Management Viewpoint
What are involved within the components of the Contemporary Perspective?
Systems Viewpoint - Regards the organization as systems of interrelated parts that operate together to achieve a common purpose Contingency Viewpoint - Emphasizes that a managers approach should vary according to-i.e, be contingent on-the individual and environmental situation The Quality-Management Viewpoint - Three Approaches
What is involved with The Horizontal Design?
Teams or workgroups, either temporary or permanent, are used to improve collaboration and work on shared tasks by breaking down internal boundaries. In a horizontal design, also called a team-based design, teams or workgroups—either temporary or permanent—are used to improve collaboration and work on shared tasks by breaking down internal boundaries.
What's involved with The Hollow / Network Structure?
The organization has a central core of key functions and outsources other functions to vendors who can do them cheaper or faster. In the hollow structure, often called the network structure, the organization has a central core of key functions and outsources other functions to vendors who can do them cheaper or faster. A company with a hollow structure might retain such important core processes as design or marketing and outsource most other processes
What is Contingency Design?
The process of fitting the organization to its environment Three factors to consider Environment: mechanistic versus organic Environment: differentiation versus integration Link between strategy, culture, and structure
Describe Theory X versus Theory Y
Theory X: Represents a pessimistic, negative view of workers Workers are irresponsible, resistant to change, lack ambition, hate work, and want to be led Theory Y: Represents an optimistic, positive view of workers Workers are considered capable of accepting responsibility, self-direction, self control, and being creative
What are the principles involved withing Strategic Positioning?
Three key principles: Strategy is the creation of unique and valuable position. -Few needs, many customers -Broad needs,few customers -Broad needs, many customers Strategy requires trade-offs in competing Strategy involves creating a "fit" among activities
What is involved in The Writing Process?
Three stages: Planning - Determine golas, analyze the audience, gather data, analyze and organize information, choose a form Drafting - Be flexible, keep going, use your own favorite strategies Revising - Revise contents, structure, and format, edit sentences and words, proofread
For MBO goal-setting to be successful, the following three things have to happen.
Top management must be committed to it. Goals must be applied organization-wide. Goals must "cascade"—be linked consistently down through the organization.
A(n) ________ is the declaration that expresses what the organization should become and where it wants to go strategically.
Vision statement
An organization's vision statement states _____. For example, the Cleveland Clinic's vision statements says that it "strives to be the world's leader in patient experience, clinical outcomes, research, and education."
What the company wants to become, where it wants to go strategically
Why is the Classical Viewpoint important?
Work activity was amenable to a rational approach. Through the application of scientific methods, time and motion studies, and job specialization it was possible to boost productivity. It led to later innovations such as management by objectives, and goal setting.
What is Benchmarking?
a process by which a company compares its performance with that of high-performing organizations Example: Airlines use such benchmarks as average turnaround time, on-time arrivals, cost per seat per passenger mile, fuel cost, numbers of lost bags, and so on.
What are three common elements of organization that authorities agree on?
pan of control: the number of people reporting directly to a given manager; narrow or wide Authority: accountability, responsibility, and delegation; line versus staff positions Centralized versus decentralized authority: who makes decisions; upper management or middle
What is organizational culture?
the set of shared, taken-for-granted implicit assumptions that a group holds and that determines how it perceives, thinks about, and reacts to its various environments
What are Porter's Five Forces?
threat of new entrants. bargaining power of suppliers. bargaining power of buyers. threat of substitute products or services. rivalry among competitors.
The classical management viewpoint emphasized
ways to manage work more efficiently