MGMT 300 Study Set

Advantages of planning

- Helps managers become future-oriented - Enhances decision coordination - Emphasizes organizational objectives - Helps ensure sustainability of the firm

Steps in the Planning Process

- Step 1 - State Organizational Objectives Managers begin the planning process with a clear statement and understanding of the organization's objectives - Step 2 - List Alternative Ways of Reaching Objectives Managers need to list as many alternatives as possible for reaching the firm's objectives - Step 3 - Develop Premises on Which to Base Each Alternative Managers need to identify the premises and assumptions upon which the alternatives are based - Step 4 - Choose the Best Alternative for Reaching Objectives Managers determine which alternative best accomplishes an organizational objective -Step 5 - Develop Plans to Pursue the Chosen Alternative Managers begin their strategic/long-range and tactical/short-range plans based on the chosen alternative - Step 6 - Put the Plans into Action Managers implement the plan and evaluate the results of the planning process

Disadvantages of MBO

- Time-consuming - Increased paperwork

disadvantages of planning

- can take up too much managerial time -managers must balance organizing influencing and controlling

What is involved with the organizing function of management

-Assigning the tasks developed -creating ways to put the plans to action -being flexible to meet challenges

Nominal Group technique

-Each group member rights down ideas -Each member presents ideas -The Entire group discuss ideas together -Secret ballot after discussion - Idea with most votes is chosen

Advantages of management by objectives

-Emphasizes what should be done to achieve org goals -Secures employee commitment to org goals

List and describe the different types of strategic business units (SBUs) in the BCB Growth-Share Matrix.

-Single Business or collection of related business -Has its own competitors -Has a manager who is accountable for its ops -Is an area that can be independently planned within the org

Paradox of Choice

-Too many alternatives leading to less effective decision making -Likely because too many alternatives lead to decreased motivation to make a decision

what is involved with the planning function of management

-choosing tasks to attaining org goals -indicating when they should be performed -concerned with org success in the long and short run

what is involved in the controlling function

-gather info that measures performance in the org -compare present performance to establish standards -determine whether org should be modified to meet standards

Types of organizational resources

-money -raw materials -people -capital resources

what is involved in the leading function

-motivating -taking care of peope in the org -guiding org members in appropriate directions

management efficiency

-proportion of total org resources that contribute to productivity during manufacturing process

Seven Challenges to exceptional mgmt

-staying ahead of rivals -know of technology -diversity -globalization -ethical standards -sustainability -meaningfulness

advantage/disadvantage of consensus

Advantages o More people focused on the decision o Employees are committed when involved with making it Disadvantages o Group can't come up with a unanimous decision o More time consuming

A disadvantage of planning is that it ___________________.

Can take up too much managerial time

A choice made between two or more alternatives is an _______

Decision

The more resources unused during the production process, the more _____________ the manager.

Efficient

what three aspects should be examined when conducting an environmental analysis

General Env Industry Env Internal Env

Which of the following is the fundamental purpose of planning?

Helping the organization reach its objectives

The first step in the decision making process is to ___________

Identify Existing problem

Which of the following is the ability to manage people during implementation?

Interacting Skills

Motivating employees to perform better so that they can achieve the organization's goal is known as ________________.

Leading

Commitment Principle

Managers should commit funds for planning only if they can anticipate, in the foreseeable future, a return on planning expenses as a result of long-range planning analysis

After setting worker objectives, the next step in a management by objectives program is to _____________.

Monitor Progress

Brainstorming technique

Negative feedback is forbidden until all members have presented alternatives that they perceive as valuable

___________ is the purpose for which - and the reason why - an organization exists.

Organizational Mission

____________ involves choosing tasks that must be performed to attain organizational goals, outlining how the tasks must be performed, and indicating when they should be performed.

Planning

Delphi Technique

Problem is identified Group is asked to come up with an anonymous response to serveys Response compiled and sent to all members Individuals asked to generate new solutions that has not yet been generated

Programmed Decision

Routine and repetitive, org develops specific ways to handle these decision

_____________ occurs when an individual makes a decision that is not optimal, but is good enough.

Satisficing

Two Factors of making a decision

Scope of decision and level of management

The proportion of the total management system that a decision will affect is called the:

Scope of the decision

Which business strategy is applied to cash cows?

Stability

__________, the fourth step of the strategic management process, is putting formulated strategies into action.

Strategy Implementation

Applying specialized knowledge and expertise to work-related techniques is a characteristic of ________________.

Technical Skills

Framing Bias

The tendency of decision-makers to be influenced by the way a situation is presented

bandwagon effect

The tendency to do (or believe) things because many other people do (or believe) the same. Related to groupthink and herd behavior.

While decisions arrived at through consensus are said to have an advantage in that they include the input of several individuals, which of the following is a disadvantage of consensus decisions?

Too much time

What managers do which type planning?

Top Level- Strategic Planning Middle Level- Tactical Planning Lower Level- Operational Planning

Standing Plan

Used over and over again because it focuses on organizational situations that occur repeatedly

confirmation bias

a tendency to search for information that supports our preconceptions and to ignore or distort contradictory evidence

Technical Skills (lower mgmt)

abilities and knowldge to perform specific tasks

Human skills (middle mgmt)

ability to interact or work with people

Consensus

an agreement by all individuals involved to make the decision

University principal of management

basic ingredients of successful management are applicable to all organizations

Satisficing

choosing a "good enough" alternative

operational planning

determine how to accomplish specific tasks with available resources within the next 1-52 weeks

tactical planning

determine what contributions their departments or similar work units can make with their given resources during the next 6-24 months

Strategic Planning

determine what the organization's long-term goals should be for the next 1-5 years with the resources they expect to have available

After identifying the alternative ways in which the organization can reach its objectives, a manager should ______________.

develop premises on which to base each alternative

Single Use plan

focuses on unique and rare situation

In order to increase the quality of their objectives, managers should _________.

let the people responsible for attaining the objectives have a voice in setting them

Industry Environment

level that contains components that normally have specific and immediate implication for managing the org -Porters 5 force model

Strategic PLanning

long range planning focuses on the org as a whole

bounded rationality

managers do not always have access to the required resources to make a rational decision

Non-programmed decisions

one-shot decision less structured and requires more time

Examples of standing plan

policies procedures rules

Planning

process of determine how the org can get to where it wants to go and what it will do to accomplish it

Strategic management

process of ensuring that the org processes and benefits fro the use of an appropriate strategy

Management

process of reaching org goals by working with and though and other org resources

Examples of a single use plan

programs budgets

__________ is the strategy through which management attempts to strengthen or protect the amount of business an SBU is generating

retrenchment

Organizational Objectives

target toward which the open management system is directed

Management skills

that ability to carry out the process of a task by working with and through people and other org resources

Management principles are considered to be universal because _______________________.

the principles of planning, organizing, influencing, and controlling are the same across organizations

unrealistic optimism

the tendency to believe that positive events are more likely to happen to yourself than to others and that negative events are more likely to happen to others than yourself

availability bias

use of info that is readily available to memory to make judgement

Management Effectiveness

using organizational resources to meet org goals

Conceptual Skills

view the entire org as a whole

General Environment

• An orgs external environment that has long-term implications for managing the org o Economical o Social o Political o Legal o Technology o International

What are three generic strategies that companies can use to increase the competitiveness of their org?

• Differentiation- different brand image • Cost Leadership- offering lowest product price • Focus- focusing on the target audience or specific customer

What are the steps in the rational decision-making process?

• Identify existing problem • List alternatives • Pick the best alternative • Implement chosen alternative • Gather problem-related feedback

What are skills that enhance the success of strategy implementation?

• Interacting skills: Ability to manage people • Allocating skills: ability to provide the org resources necessary • Monitoring skills: ability to use information to determine whether a problem has arisen that is blocking implementation • Organizing skills: ability to build a network of people who can help solve problems

what are some guidelines for setting objectives?

• Involve org members in setting objects • Be specific and clear • Tie objectives to actions • Pinpoint expected results • Set stretch goals • Specify time frame for goals • State objectives clearly and simply

Describe Management by objectives

• Org objectives reviewed • Worker objectives set • Progress monitored • Performance evaluated • Rewards given • MBO for next normal operating period begins

What are the four different strategy types that are based on the BCG Matrix?

• Stars- large share, high growth market • Question Marks- small share, high growth market • Cash Cows- large share of a market, slightly growing • Dogs- small share of the market, small portion of the market

Porter's Five Forces

• Suppliers • New Entrants • Buyers • Substitutes • Industry Competitors

Describe MGMT process

•Organizational Resources (Input) Production Process (output) Finished Products