MGMT 3510

Macro-level management

Focuses on improving the performance of the organization as a whole.

Micro-level management

Focuses on improving the performance of the employees within the organization.

Managerial functions

Including controlling, leading, organizing, and planning.

For-profit organizations

Organizations that are in business to make money and be profitable.

Nonprofit organizations

Institutions that are in business to serve the greater good.

Controlling

Management function where managers monitor and evaluate activities.

Leading

Management function where managers supervise and motivate people.

Organizing

Management function where managers coordinate activities and resources.

Planning

Management function where managers determine the course of action for their organization.

Hawthorne effect

Behavior changes that occur solely as a function of an individual’s awareness of being observed.

Human relations perspective

Approaches the study of management from a human-oriented lens, focusing on employees as humans.

Management science

Uses analytics and complex statistics to improve decision making in organizations.

Total Quality Management (TQM)

Conceptualizes quality through planning, control, and improvement, emphasizing commitment throughout the organization.

Forecasting

The process of trying to predict what will happen in the future.

Boundary spanning

Involves scanning the environment for important information and tactically releasing internal information externally.

Benchmarking

Making ongoing comparisons between an organization and its competitors regarding process and performance.

Buffering

Absorbing uncertainty from the environment so the organization can perform its primary roles efficiently.

Competitive advantage

An edge over competitors that allows a firm to generate greater sales or margins.

Stakeholder

Individuals and entities affected by and that impact the organization.

Gig economy

A labor market characterized by short-term contracts and freelance work.

Supply chain management

The management of the flow of goods and services to maximize quality and efficiency.

Creative destruction

The process by which new entrants come into industries and displace existing firms through innovation.

First-mover advantages

Benefits gained by a firm entering a market before competitors.

Intrapreneurs

Employees within an organization who promote innovative activities.

Organizational development

Efforts to improve an organization’s long-term effectiveness.

Process innovation

The development and introduction of a significantly improved method or technique.

Product innovation

The development and market introduction of a significantly improved good or service.

Skunk works

Small, independent units within an organization focused on innovation.

Competitor intelligence

Research on rivals to determine their likely behavior.

Strategy

An integrated pattern of decisions aimed at achieving an organization's objectives.

Backward vertical integration

Acquiring a supplier to improve efficiencies and exert bargaining power.

Competitive positioning

The choice to compete based on differentiation or higher prices.

Cost advantage (Cost leadership advantage)

The ability to incur lower expenses than competitors.

Differentiation advantage

The ability to charge a price premium due to unique products or services.

Exit costs

Expenses incurred to leave an industry or facility.

Five forces framework

A tool for analyzing the competitive forces within an industry.

Forward vertical integration

Acquiring a customer or entity to control distribution.

Monopoly

An industry with a single company operating within it.

Oligopoly

A market structure with a small number of firms dominating.

Overcapacity

When firms produce more supply than is needed to meet demand.

Product commoditization

Loss of product differentiation when multiple firms offer similar goods.

SWOT analysis

An evaluation of strengths, weaknesses, opportunities, and threats in a firm.

Value capture

Profits obtained by charging more than the costs of a product or service.

Value creation

The difference between a customer’s willingness to pay and the firm’s cost of offering a product.

Culture

Values, orientations, and beliefs that affect individuals in a society.

Culture shock

Anxiety experienced when in unfamiliar surroundings.

Ethnocentrism

Judging another culture based on one’s own cultural standards.

Expatriates

Employees working in another country.

Franchising

Providing foreign businesses with a complete package of materials for a fee.

Globalization

Increased interaction and integration across different regions.

Individualism

The tendency for individuals to prioritize their own interests.

Joint venture

A business entity created by two or more parties sharing ownership and responsibility.

Multinational corporation

A company that operates in multiple countries.

Offshoring

Sourcing work to organizations in other countries.

Outsourcing

Subcontracting services to third-party vendors.

Parochialism

Narrow-mindedness towards topics due to lack of interest.

PESTLE analysis

A strategic framework to assess factors in a particular country: Political, Economic, Sociocultural, Technological, Legal, and Environmental.

Third country nationals

Employees from a country other than the home or host country.