BA 316 Unit 3 Exam

Corporate-level strategy

Focuses on what industries and markets the organization should compete in.

Business-level strategy

Focuses on how the organization competes in a specific market.

Functional-level strategy

Focuses on how support departments contribute to business strategy.

SWOT analysis

A tool that evaluates Strengths, Weaknesses, Opportunities, and Threats.

PESTEL framework

Analyzes macro-environment: Political, Economic, Social, Technological, Environmental, Legal.

VRIO framework

Analyzes resources: Value, Rarity, Imitability, Organization.

Growth strategy

Expands business through new products, markets, or acquisitions.

Stability strategy

Maintains current operations without major changes.

Defensive strategy

Reduces scale or scope, often through divestment or cost-cutting.

Porter's 5 forces

Threat of new entrants, bargaining power of suppliers, bargaining power of buyers, threat of substitutes, competitive rivalry.

Cost-leadership strategy

Competes by being the lowest cost producer industry-wide.

Differentiation strategy

Offers unique value to justify premium pricing.

Cost-focus strategy

Targets a narrow market segment with low costs.

Focused-differentiation strategy

Offers unique value to a narrow market segment.

Symbols, stories, heroes, rituals

Methods employees use to learn organizational culture.

Organizational socialization

Process of learning the norms and values of the organization.

Observable artifacts

Visible organizational structures and processes.

Espoused values

Stated values and norms preferred by the organization.

Basic assumptions

Core, unconscious beliefs of the organization.

Clan culture

Family-like, collaborative, high employee involvement.

Market culture

Competitive and results-oriented.

Adhocracy culture

Innovation-focused, adaptable, creative.

Hierarchy culture

Structured and control-oriented, rules-based.

Common purpose

Unifies employees with a shared mission.

Coordinated effort

Groups working together for the same goal.

Division of labor

Specialization of work roles.

Hierarchy of authority

Chain of command in the organization.

Flat organization

Few levels of management; more autonomy.

Span of control

Number of direct reports a manager has.

Authority

Right to make decisions, includes accountability and responsibility.

Delegation

Assigning responsibility to lower levels.

Centralization

Decisions made at the top.

Decentralization

Decision-making pushed down.

Simple structure

Few levels, often used in small businesses.

Functional structure

Grouped by job function.

Divisional structure

Grouped by product, customer, or geography.

Matrix structure

Dual reporting to both functional and project managers.

Horizontal design

Teams arranged around workflow or processes.

Hollow structure

Outsources non-core processes.

Modular structure

Uses external vendors for components or services.

Virtual structure

Highly networked and operates mostly online.

Outside forces for change

Includes demographics, tech changes, stakeholder concerns, social/political shifts.

Inside forces for change

Includes HR issues, leadership behavior, internal conflict.

Proactive change

Planned change in anticipation of future events.

Reactive change

Change made in response to problems or pressure.

Adaptive change

Low-risk, familiar change.

Innovative change

Moderate complexity, new to the organization.

Radically innovative change

High-risk, industry-first changes.

Lewin's change model

Unfreezing, Changing, Refreezing.

Systems model of change

Inputs, Target Elements (people, methods, social factors, org arrangements), Outputs.

Organizational development (OD)

Uses planned change to improve effectiveness.

OD steps

Diagnosis, Intervention, Evaluation, Feedback.

Product innovation

New or improved goods/services.

Process innovation

Changes in how products/services are created or delivered.

Improvement innovation

Enhances existing products/services.

New-direction innovation

Breakthroughs that reorient strategy.

Innovation system components

Innovation strategy, leadership, culture/climate, structure, human capital, HR practices, resources.

Internal HR fit

Aligning HR practices with internal strategy.

External HR fit

Aligning HR practices with the external environment.

Talent management

Attracting, developing, retaining top talent.

High-performance work systems

Integrate HR practices to support strategic goals.

Internal recruiting

Filling jobs with current employees.

External recruiting

Hiring from outside the organization.

Unstructured interview

No set questions or scoring system.

Situational interview

"What would you do if..."

Behavioral interview

"Tell me about a time when..."

Onboarding

Assimilating new employees into the organization.

Objective appraisals

Based on measurable outcomes.

Subjective appraisals

Based on opinions or observations.

360-degree assessment

Feedback from peers, subordinates, supervisors.

Forced ranking

Employees ranked against each other.

Labor relations

Legal relationship between employer and union.

Compensation and benefits

Legally regulated employee pay and perks.

Health and safety

Workplace conditions mandated by law.

Equal Employment Opportunity (EEO)

Legal mandate prohibiting discrimination.