Chapter 3 MGMT W/ QUIZ
consistent organizational culture
a company culture in which the company actively defines and teach organizational values, beliefs, and attitudes
company mission
a company's purpose or reason for existing
competitive analysis
a process for monitoring the competition that involves identifying competition, anticipating their moves, and determine their strengths and weaknesses
(competitor component) competitive analysis
a process of monitoring the competition that involves identifying competition, anticipating their moves, and determining their strengths and weaknesses
opportunistic behavior
a transaction in which one party in the relationship benefits at the expense of the other
external environments
all events outside a company that have the potential to influence or affect it -Stable (slow rate of change) -Dynamic (fast rate of change)
media advocacy
an advocacy group tactic that involves framing issues as public issues, exposing questionable, exploitative, or unethical practices; and forcing media time or creating controversy that is likely to receive extensive news coverage
product boycott
an advocacy group tactic that involves protesting a company's actions by persuading consumers not to purchase its product or service
public communications
an advocacy group tactic that relies on voluntary participation by the news media and the advertising industry to get the advocacy group's message out
dynamic environment
an environment in which the rate of change is fast
stable environment
an environment in which the rate of change is slow
complex environment
an environment with many environmental factors
simple environment
an environment, with few environmental factors
uncertainty
extent to which managers can understand or predict which environmental changes and trends will affect their businesses
a growing economy provides a?
favorable environment for business growth
(behaviors) relationship behavior
focuses on establishing a mutually beneficial, long-term relationship between buyers and sellers
cognitive maps
graphic depictions of how managers believe environmental facts relate to possible organizational actions
a company facing a simple environment would:
have few external factors in the environment that affect it
changes in technology can?
help companies provide better products or produce their products more efficiently
environmental scanning
searching the environment for important events or issues that might affect an organization
organizational stories
stories told by organizational members to make sense of organizational events and changes and to emphasize culturally consistent assumptions, decisions, and actions
resource scarcity
the abundance or shortage of critical organizational resources in an organization's external environment
specific environment
the customers, competitors, suppliers industry regulations, and advocacy groups that are unique to an industry and directly affect how a company does business
supplier dependence
the degree to which a company relies on a supplier because of the importance of the supplier's product to the company and the difficulty of finding other sources of that product
buyer dependence
the degree to which a supplier relies on a buyer because of the importance of that buyer to the supplier and the difficulty of finding other buyers for its products
general environment
the economic, technological, sociocultural, and political/legal trends that indirectly affect all organizations
relationship behavior
the establishment of mutually beneficial, long-term exchanges between buyers and suppliers
internal environment
the events and trends inside an organization that affect management, employees, and organizational culture
technology
the knowledge, tools, and techniques used to transform inputs into outputs (an umbrella term for the knowledge, tools, and techniques used to transform inputs into outputs)
(Political/ Legal components)
the legislation, regulations, and court decisions that govern and regulate business behavior
environmental complexity
the number and the intensity of external factors in the environment that affect organizations -simple (few environmental factors that affect organizations) -complex (many environmental factors that affect organizations)
behavioral substitution
the process of having managers and employees perform new behaviors central to the new organizational culture in place of behaviors that were central to the old organizational culture
behavioral addition
the process of having managers and employees perform new behaviors that are central to and symbolic of the new organizational culture that a company wants to create
environmental change
the rate at which a company's general and specific environments change
(Interpreting Environmental Factors) Threat or opportunity?
(threat) -managers typically take steps to protect the company from further harm (opportunity) -managers consider strategic alternatives for taking advantage of those events to improve performance
Changing Organizational Cultures
-behavioral addition -behavioral substitution -change visible artifacts -hiring people with values and beliefs consistent with desired culture
Specific environment
-customers -competitors -suppliers -industry regulations -advocacy groups
organizational culture is sustained by...
-organizational stories -organizational heroes
Environmental scanning
Searching the environment for important events or issues that might affect an organization -managers scan the environment to reduce uncertainty -organizational strategies affect environmental scanning -environmental scanning contributes to organizational performance
(competitor component) competitors
companies in the same industry that sell similar products or services
competitors
companies in the same industry that sell similar products or services to customers
(supplier component) suppliers
companies that provide material, human, financial, and informational resources to other companies
suppliers
companies that provide material, human, financial, and informational resources to other companies
advocacy groups
concerned citizens who band together to try to influence the business practices of specific industries, businesses, and professions
Advocacy Groups
concerned citizens who band together to try to influence the business practices of specific industries, businesses, and professions -public communication -media advocacy -product boycott
Sociocultural component
demographic characteristics, general behavior, attitudes, and beliefs of people in a particular society
business confidence indices show?
how confident managers are about future business growth
one of the key factors having an influence on the relationship between companies and their suppliers is_______.
how dependent they are on each other
(customer component) Proactive customer monitoring
identifying and addressing customer needs, trends, and issues before they occur
(customer component) Reactive customer monitoring
identifying and addressing customer trends and problems after they occur
business confidence indices
indices that show manager's level of confidence about future business growth
technology is the______used to transform inputs (raw materials, information, etc) into outputs(goods or services)
knowledge, tools, and techniques
(Political/ legal components) many managers are unaware of the ________ associated with traditional managerial decisions like recruiting, and firing employees
legal risks
behavioral addition and substitution can be used by managers to______.
modify corporate culture
According to leaders at camp bow wow, heidi ganahl's life story helps to ______ individuals throughout the organization
motivate
Based on the Camp Bow Wow video, Heidi Ganahl's personal example of triumph over tragedy should be expected to have a strong impact on the company's
organizational culture
the_____is the set of key values, beliefs, and attitudes shared by organizational members
organizational culture
organizational heroes
people celebrated for their qualities and achievements within an organization
creation and maintenance of organizational cultures
primary source of organizational culture is the company founder
industry regulation
regulations and rules that govern the business practices and procedures of specific industries, businesses, and professions
Of the following, which would be considered to be a component of volkswagen's specific environment and have a direct influence on how the company conducts its business?
renault, a french car maker
At camp bow wow, all employees, franchisees, and recruits learn the inspirational story of how Heidi Ganahl founded the doggie day care company. This is important because:
the story helps convey camp bow wow's shared values, attitudes, beliefs, and mission
punctuated equilibrium theory
the theory that companies go through long periods of stability (equilibrium) followed by short periods of dynamic, fundamental change (revolutionary periods), and then a new equilibrium
organizational culture
the values, beliefs, and attitudes shared by organizational members
when environmental change and complexity are at low levels and resource scarcity is small (i.e, resources are plentiful),
uncertainty is low, and managers feel confident that they can understand, predict, and react to the external forces that affect their businesses
When environmental change and complexity are at high levels and resource scarcity is high, uncertainty is high, and managers may not be at all confident that they can ?
understand, predict, and handle the external forces affecting their business
this video discussion various things that help shape people's perceptions of camp bow wow, such as web sites, logos, and shirts. These are known as_______
visible artifacts
visible artifacts
visible signs of an organization's culture, such as the office design and layout, company dress code, and company benefits and perks, like stock options, personal parking spaces, or the private company dining room
(behaviors) opportunistic behavior
when one party benefits at the expense of another
