Business Management AOS 2 Unit $

Leadership in change management

is the ability to positively influence and motivate employees towards achieving business objectives during a transformation.

Cost cutting

is the process of reducing business expenses

redemployment of resources

involves reallocating natural, labour and capital resources to different areas of the business to improve productivity.

innovation

is the process of altering and improving or creating new products or procedures.

Global sourcing of inputs

involves a business acquiring raw materials and resources from overseas suppliers.

Overseas manufacture

involves a business producing goods outside of the country where its headquarters are located.

Global outsourcing

involves transferring specific business activities to an external business in an overseas country.

Corporate Culture

is the shared values and beliefs of a business and its employees

Official Corporare Culture

involves the shared views and values that a businesss aims to achieve, often outlined in a written format

Real corporate culture

Involves the shared values and beliefs that develop organically within a business, and are practised on a daily basis.

A learning organisation

is an organisation that facilitates the growth of its members and continuously transforms itself to adapt to changing environments.

Mental Models

are existing assumptions and generalisations that must be challenged so that learning and transformation can occur in an organisation.

Shared Vision

An aspirational description of what an organisation and its members would like to achieve.

Personal Mastery

The discipline of personal growth and learning, aligned with one's values and purpose.

Systems Thinking

A management approach that considers the interrelationships between the parts of the whole system

Team Learning

The collective learninbg that occurs when teams share their experience, insights, knowledge and skills to improve practices.

Low Risk Strategy

are measured management approaches that gradually encourage employees to accept and participate in business change

Communication as a low risk strategy

Involves managers openly and honestly transferring information to employees, and listening to their feedback so that employees are fully aware of the reasons for, and impacts of an upcoming change.

Empowerment as a low risk strategy

Involves managers providing employees with increased responsibility and authority during times of change

Support as a low risk strategy

Involves managers providing employees with assistance as they move from current to new practices.

Incentives as a low-risk strategy

Involves managers providing financial or non-financial rewards to encourage employees to support change.

High risk strategies

are autocratic management approaches are used to influence employees to quickly accept and follow a business change.

Manipulation as a high-risk strategy

Involves influencing employees to support a proposed change by providing incomplete and deceptive information about the transformation.

Threat as a high-risk strategy

involves forcing employees to follow a proposed change by stating that they may or will cause harm to them if they fail to do so.

Lewin's Three-Step Change Model

It is a process that can be used by a business to implement change successfully.

Unfreeze step

involves moving a business to a state where stakeholders are prepared to undergo change.

Change step

Involves moving a business towards its desired state.

Refreeze step

Involves ensuring a change is sustained within a business for the long term.

Corporate Social Responsibility

The ethical conduct of a business beyond legal obligations, and the consideration of social, economic and environmental impacts when making business decisions.