ESP111 ALL KEY TERMS

management

the process used to accomplish organizational goals through planning, organizing, leading, and controlling people and other organizational resources

manager

an individual who is in charge of a certain group off tasks, or a certain area or department of a business

Chief Executive Officer

the most senior manager responsible for the overall performance and success of a company

planning

setting aims & targets for the organization

organizing

managing people & resources effectively towards achieving the aims of the organization; making sure staff do not perform overlapping tasks

coordinating

bringing people & departments together so that they work towards common aims

commanding

managers are more likely to guide, lead, and supervise people than just tell them what to do

controlling

checking that the originals are being met and appraising workers/staff

leading

creating a vision for the organization and guiding, training, coaching, and motivating others to work effectively to achieve the organization’s goals and objectives

strategy

a plan for achieving success

crisis

a situation of danger or difficulty

consultant

a person who provides expert advice to a company

subordinate

a person with a less important position in an organization

objective

something you plan to do or achieve

innovation

a new idea or method

promotion

when someone is raised to a higher or more important position

motivation

factors that influence the behavior of workers towards achieving business goals

job satisfaction

the enjoyment a worker gets from feeling that they have done a good job

job rotation

swapping workers round and only doing a specific task for a limited time before swapping round again

job enlargement

extra tasks are added to the job to make it more interesting

job enrichment

adding tasks that require more skill and/or responsibility

Theory X

The average person does not like work. Workers must be constantly supervised so they will work. Motivation is from external factors, e.g. pay schemes where the workers are paid more for increased output.

Theory Y

The average person is motivated by internal factors. To motivate workers, you need to find ways to help workers take an interest in their work, e.g. give rewards, incentives.

Maslow's hierarchy of needs

A theory of motivation which states that five categories of human needs dictate an individual's behavior. Those needs are physiological needs, safety needs, love and belonging needs, esteem needs, and self-actualization needs.

Frederick Herzberg's two-factor theory

Humans have two sets of needs: one is for the basic needs, which he called hygiene factors or needs, and the second is for a human being to be able to grow psychologically, which he called motivational needs or motivators.

hygiene factors

the factors that must be present in the workplace to prevent job dissatisfaction

autonomy

power to make independent decisions

organizational structure

the levels of management and division of responsibilities within an organization

hierarchy

the levels of management in any organization, from the highest to the lowest

chain of command

the structure in an organization which allows instructions to be passed down from senior management to lower levels of management

span of control

the number of subordinates working directly under a manager

directors

senior managers who lead a particular department or division of a business

line managers

people who have responsibility for people below them in the hierarchy of an organization

supervisors

junior managers who have direct control over the employees below them in the organizational structure

staff managers

specialists who provide support, information and assistance to line manager

delegation

giving a subordinate the authority to perform a particular task

decentralization

taking decision away from the centre of an organization- way from the Head Office

delegate

to give someone else responsibility for doing something instead of you

report to

to be responsible to someone and to take instructions from them

line authority

the power to give instructions to people at the level below in the chain of command

autonomous

independent, able to take decisions without consulting someone at the same level or higher in the chain of command

function

a specific activity in a company, e.g. production, marketing finance

wikinomics

explains how companies and individuals create value by using mass collaboration through the Internet and digital platforms

functional structure

employees are grouped based on specialized functions

flat structure

few or no levels of middle management; direct communication

matrix structure

employees report to more than one manager

hierarchical structure

traditional "top-down" structure with clear levels of authority

teams structure

employees are grouped into cross-functional teams that work on projects or solve problems together

divisional structure

organization is divided into semi-autonomous units, often based on products, services, or geographical regions

glocalization

a combination of the words "globalization" and "localization." The term is used to describe a product or service that is developed and distributed globally but is also adjusted to accommodate the user or consumer in a local market.

culture

defined as the complex system of values, traits, morals, and customs shared by a society

context

refers to the stimuli, environment, or ambience surrounding an event

the Lewis model

developed by linguist and leading cross-cultural specialist Richard D. Lewis. The model divides humans into 3 clear categories, based not on nationality or religion but on BEHAVIOUR, namely, Linear-active, Multi-active and Reactive.

high-context culture

a culture by which the rules of communication are primarily and dominantly transmitted through the use of contextual elements

low-context culture

refers to a culture whereby most communications take place through verbal language and rules are directly written out or stated for all to view

power distance

the distribution of power among individuals within a culture and how well unequal levels of power are accepted by those with less power

individualism

refers to an attitude of independence and freedom from control

collectivism

emphasizes membership in organizations, groups, and teams; it encourages acceptance of group values, duties, and decisions

logic

thought based on reason and judgement rather than feelings and emotions

confrontation

a face-to-face disagreement or argument

compromise

reducing demands or changing opinions in order to agree

intuition

understanding or knowing without consciously using reason

connections

people of influence or importance with whom you are associated

improvise

to do something when necessary without having already planned it

status

respect, prestige or importance given to someone

lose face

to be humiliated or disrespected in public

interrupt

to cut into someone else’s turn to speak

eye contact

looking directly at the people you are talking or listening to

recruitment

the process from identifying that the business needs to employ someone up to the point at which applications have arrived at the business

employee selection

the process of evaluating candidates for a specific job and selecting an individual for employment based on the needs of the organisation

a job analysis

identifies and records the responsibilities and tasks relating to a job

a job description

outlines the responsibilities and duties to be carried out by someone employed to do a specific job

a job specification

a document which outlines the requirements, qualifications, expertise, physical characteristics, etc., for a specified job

internal recruitment

when a vacancy is filled by someone who is an existing employee of the business

external recruitment

when a vacancy is filled by someone who is not an existing employee and will be new to the business

induction training

an introduction given to a new employee, explaining the business’s activities, customs and procedures and introducing them to their fellow workers

on-the-job training

occurs by watching a more experienced worker doing the job

off-the-job training

involves being trained away from the workplace, usually by specialist trainers

primary sector

The ____ of industry extracts and uses the natural resources of Earth to produce raw materials used by other businesses.

secondary sector

The ____ of industry manufactures goods using the raw materials provided by the primary sector.

tertiary sector

The ____ of industry provides services to consumers and the other sectors of industry.

quaternary sector

this sector includes businesses that produce knowledge and information, such as education, research and development, and information technology

mixed economy

has both a private sector and a public (state) sector

public sector

the sector of the economy in which organisations are owned and controlled by the state (government)

private sector

the sector of the economy in which organisations are owned and controlled by individuals

privatisation

the sale of state-owned assets such as public corporations to the private sector

sole trader

a business owned and operated by one person

limited liability

the liability of shareholders in a company is limited to only the amount they invested

unlimited liability

the owners of a business can be held responsible for the debts of the business they own. Their liability is not limited to the investment they made in the business.

partnership

a form of business in which two or more people agree to jointly own a business

shareholders

the owners of a limited company. They buy shares which represent part-ownership of the company.

private limited companies

businesses owned by shareholders but they cannot sell shares to the public

public limited companies

businesses owned by shareholders but they can sell shares to the public and their shares are tradeable on the Stock Exchange

franchises

a business model where a person (franchisee) buys the right to use the brand name, products, and business system of another company (franchisor)

joint venture

when two or more businesses agree to start a new project together, sharing the capital, the risks and the profits

exported goods

products sold to other countries

real estate

property: buildings such as offices, houses, flats (BrE) or apartments (AmE)

production

the process of converting inputs such as land, labour and capital into saleable goods, for example shoes and cell phones

inventories

the stock of raw materials, work-in-progress and finished goods held by a business

lean production

the production of goods and services with the minimum waste of resources