Bill Klinger - Business Management Final Flashcards

Administrative management

managing organizations using rules and principles

Bureaucratic model

formal structure with clear rules hierarchy and procedures

Max Weber

creator of the bureaucratic model

Behavioral management

focuses on people motivation and behavior

Hawthorne Effect

people work harder when they know they are observed

Scientific management

uses science to improve work efficiency

Frederick Taylor

founder of scientific management

Frank and Lillian Gilbreth

studied motion to improve efficiency

Systems approach

organization as interrelated parts

Entropy

natural tendency toward disorder

Synergy

whole is greater than the sum of its parts

Alternative work arrangement

nontraditional work schedules

Flex time

flexible start and end times

Job sharing

two people share one job

Compressed work week

longer days with fewer workdays

Compensation systems

how employees are paid

Control

monitoring performance to meet goals

Control standards

performance benchmarks

Screening control

prevents problems before they occur

Post-action control

evaluates results after action

Culture

shared values beliefs and norms

Decision making

choosing among alternatives

Classical decision making

logical and rational process

Centralized decision making

decisions made by top management

Decentralized decision making

decisions made at lower levels

Certainty

outcome is known

Risk

outcomes known but uncertain

Uncertainty

outcomes unknown

Escalation of commitment

continuing a bad decision due to sunk costs

Group decision making

decisions made by a group

Groupthink

pressure to agree reduces decision quality

Rational decision making

best choice using logic

Satisficing

choosing a good enough option

Programmed decisions

routine repetitive decisions

Non-programmed decisions

unique new decisions

Risk propensity

willingness to take risks

Diversification

expanding into new products or markets

Single product

one main product

Related diversification

new but related products

Conglomerate diversification

unrelated products

Sole proprietorship

one owner unlimited liability

Partnership

two or more owners

Corporation

separate legal entity

LLC

limited liability with flexibility

Pooled interdependence

units work independently

Sequential interdependence

one unit depends on another

Reciprocal interdependence

units depend on each other

Leadership

influencing others to achieve goals

Leadership grid

shows concern for people versus production

Country club management

high people low production

Authority-compliance management

high production low people

Locus of control

belief about control over outcomes

Machiavellian

manipulative power-focused leader

Merger

two companies combine

Acquisition

one company buys another

Horizontal integration

same industry

Vertical integration

same supply chain

Motivation

forces that drive behavior

Equity theory

motivation based on fairness

ERG theory

existence relatedness growth

Expectancy theory

effort leads to performance and rewards

Herzberg two-factor theory

satisfaction versus dissatisfaction (motivators vs hygiene)

Hygiene factors

prevent dissatisfaction

Motivators

create satisfaction

Maslow hierarchy of needs

needs arranged from basic to advanced

Physiological needs

food water shelter

Security needs

safety and stability

Belongingness needs

relationships

Esteem needs

respect and confidence

Self-actualization

achieving full potential

Positive reinforcement

rewarding desired behavior

Negative reinforcement

removing negatives to increase behavior

Theory X

employees dislike work

Theory Y

employees enjoy work

Theory Z

trust and long-term employment

Norms

group behavior rules

Conformity

adjusting behavior to fit the group

Generalization

applying behavior broadly

Variation

differences in behavior

Organization

group working toward goals

Job specialization

one specific task

Job rotation

switching jobs

Job enlargement

adding more tasks

Job enrichment

adding responsibility

Line organization

direct authority structure

Staff organization

advisory roles