New Management tools and principles (ALL Chpt 1 - 7)

Management

Management

The process of planning, organizing, leading, and controlling to meet organizational goals

Planning

Establishing objectives and goals for an organization and determining the best ways to accomplish them.

Strategic plans

Plans that establish the actions and the resource allocation required to accomplish strategic goals; they’re usually defined for periods of two to five years and developed by top managers.

Mission Statement

A brief statement of why an organization exists; in other words, what the organization aims to accomplish for customers, investors, and other stakeholders.

Values Statement

A brief articulation of the principles that guide a company’s decisions and behaviors.

SWOT Analysis

A analytical framework which clearly identifies a firm’s strength’s weaknesses, Opportunities and Threats

Goal

A broad, long-range target.

Objective

A specific, short-range goal.

Organizing

The process of arranging resources to carry out the organization’s plans.

Management Pyramid

An organizational structure divided into top, middle, and first-line management.

Top managers

Those at the highest level of the organization’s management hierarchy; they are responsible for setting strategic goals, and they have the most power and responsibility in the organization.

Middle managers

Those in the middle of the management hierarchy; they develop plans to implement the goals of top managers and coordinate the work of first-line managers.

First-line managers

Those at the lowest level of the management hierarchy; they supervise the operating employees and implement the plans set by higher management levels.

Leading

The process of guiding and motivating people to work toward organizational goals.

Autocratic Leaders

Leaders who so not involve others in the decision-making.

Democratic Leaders

Leaders who delegate authority and involve employees in decision-making

Participate management

A philosophy of allowing employees to take part in planning and decision-making.

Laissez-faire leaders

Leaders who leave most decisions up to employees, particularly those concerning day-to-day matters.

Employee empowerment

Giving employees the power to make decisions that apply to their specific aspects of work.

Coaching

Helping employees reach their highest potential by meeting with them, discussing problems that hinder their ability to work effectively, and offering suggestions and encouragement to overcome these problems.

Mentoring

A process in which experienced managers guide less-experienced colleagues in nuances of office politics, serving as role models for appropriate business behavior and helping to negotiate the corporate structure.

Organizational Culture

A set of shared values and norms that support the management system and that guide management and employee behavior.

Controlling

The process of measuring progress against goals and objectives and correcting deviations if results are not as expected.

Benchmarking

Collecting and comparing process and performance data from other companies.

Balanced Scorecard

A method of monitoring the performance from four perspectives: finances, operations, customer relationships, and the growth and development of employees and intellectual property.

Crisis Management

Procedures and systems for minimizing the harm that might result from some unusually threatening situations.

Interpersonal Skills

Skills required to understand other people and to interact effectively with them.

Technical Skills

The ability and knowledge to perform the mechanics of a par- ticular job.

Administrative Skills

The technical skills necessary to direct an organization, including scheduling, researching, analyz- ing data, and managing projects.

Conceptual Skills

The ability to understand the relationship of parts to the whole.

Decision-making skills

The ability to identify a decision situation, analyze the problem, weigh the alternatives, choose an alternative, implement it, and evaluate the results.

Cognitive Automation

AI technology that aims to help professionals and managers with complex questions that present some of the most daunting decision scenarios.

Business

Any profit-seeking organization that provides goods and services designed to satisfy customers’ needs.

Revenue

Money a company brings in through the sale of goods and services

Business model

A concise description of how a business generates or intents to generate revenue

Profit

Money left over after all the cost involved in doing business have been deducted from revenue.

Competitive advantage

Some aspects of a company or its operations that enables it to create products with greater appeal to its target customers

Non-Profit organization

Organizations that provide goods and services without having a profit motive

Business mindset

Adopting an insider’s view of business with an appreciation for the decisions to be made and challenges that managers face

Social environment

Trends and forces in society at large

Stakeholders

Internal and external groups affected by a company’s decisions and activities

Technological environment

Forces resulting from the practical application of sciences to innovations products and processes

Economic environment

The conditions and forces that affect the cost and availability of goods, services, and shape the behaviour of buyers and sellers

Gig economy

Portion of the economy composed of people who work as independent contractors on a series of short-term projects or tasks

Legal and regulatory environment

Laws and regulations at local, state, national, and even international levels

Market environment

A company’s target customers, the buying that influences that shape the behaviour of those customer, and competitions that market similar products to those customers.

Barriers to entry

Resources or capabilities a company must have before it can start competing in a given market.

Research and Development

Functional area responsible for conceding and designing new products

Operations Management

Management of the people and processes involved in creating goods and services

Information technology

A functional area of business as well as the systems responsible for gather, processing, and distributing information where needed throughout an organization

Professionalism

The quality of performing at a high level and conduction oneself with purpose and pride.

Etiquette

The expected norms of behaviour in any particular situation

Digital Enterprise

Any company that uses digital systems as of of the foundation of its value-creation process, regardless of what industry it is in or what products it makes.

Disruptive innovation

A development so fundamentally different and far-reaching that it can create new professions, companies, or even entire industries while damaging or destroying others.

Digital transformation

The process of reimagining a company’s business model and operations to become a digital enterprise.

Economy

The total of all the economic activity within a given region

Economics

The study of how a society uses its scare resources to produce and distribute goods and services

Factors of production

Economic resources, including natural resources, human resources, capital, entrepreneurship, and knowledge.

Scarcity

A condition resource that has a finite supply

Economic indicators

Statistics that measure the performance of the economy

Consumer price index

A monthly statistic that measures changes in the prices of a representative collection of consumer goods and services

Producer price index

A statistical measure of price trends at the producer and wholesaler levels

Gross Domestic Product

The value of all the final goods and services produced by business located within a nation’s border; exclude outputs from overseas operations of domestic companies.

Economic system

The policies that define a society’s particular economic structure; the rules by which a society allocates economic resources.

Planned system

Economic system in which the government controls most of the factors of production and regulates their allocation

Free-market system

Economic system in which decisions about what to produce and in what quantities are decided by the market’s buyers and sellers

Capitalism

Economic system based on economic freedom and competition

Regulation

Relying more on laws and policies than on market forces to govern economic activity

Deregulation

Removing regulations to allow the market to prevent excesses and correct itself over time

Monetary policy

Government policy and actions taken by the federal reserve board to regulate the nation’s money supply

Fiscal policy

Use of government revenue collection and spending to influence the business cycle

Demand

Buyer’s willingness and ability to purchase products at various price points

Supply

A specific quantity of a product that a seller is able and willing to provide at a particular date at various prices

Demand curve

A graph of the quantities of a product that buyers will purchase at various prices

Supply curve

A graph of the quantities of a product that sellers will offer for sale, regardless of demand, at various prices

Equilibrium price

The point at which quantity supplied equals = quantity demanded

Competition

Rivalry among business for the same customers

Pure competition

A situation in which so many buyers and sellers exist that no single buyer or seller can indiviually influence prices

Monopoly

A situation in which one company dominates a market to the degree that it can control prices

Monopolistic competition

A situation in which many sellers differentiate their products from those of competitors in at least some small way

Oligopoly

A market situation in which a small number of suppliers, sometimes only two, provide a particular good or service

Recession

A period during which national income, employment, and production all fall; often defined as at least six months of decline in the GDP

Business cycles

Fluctuations in the rate of growth that an economy experiences over a period of several years

Unemployment rate

The portion of the labor force (everyone over 16 who has or is looking for a job) currently without a job

Inflation

An economic condition in which prices rise steadily throughout the economy

Deflation

An economy condition in which prices fall steadily throughout the economy

Money

Anything generally accepted as a means of paying for goods and services; serves as a medium of exchange, a unit of accounting, a store of value, and a standard of deferred value

Flat money

Official currencies issued and maintained through government flat, or production

Cryptocurrency

Currency represented by digital tokens

Nonfungible tokens

Digital certificates that convey sole ownership of a digital asset

Money supply

The amount of money in circulation at any given point in time

Federal funds rate

The interest rate that member banks charge each other to borrow money overnight from the funds they keep in their federal reserves accounts

Discount rate

The interest rate that member banks pay when they borrow funds from the Fed

Prime rate

The interest rate a bank charges its best loan customers

Investment banks

Firms that offer a variety of services related to initial public stock offerings, mergers and acquisitions, and other investment matters

Commercial banks

Banks that accept deposits, offer various checking and savings accounts, and provide loans; note that this label is often applied to banks that serve businesses only, rather than consumers

Fintech

Technologies with the potential to improve or disrupt financial services

Economic Globalization

The increasing integration and interdependence of national economies around the world

Economies of scale

Savings from buying parts and materials, manufacturing, or marketing in large quantities