CH 8 The Manager as a Planner and Strategist

These flashcards cover key concepts related to the role of a manager as a planner and strategist, introducing important terminology and definitions relevant to the planning process and organizational strategies.

Planning

The process of identifying and selecting appropriate goals and courses of action for an organization.

Strategy

A cluster of decisions about what goals to pursue, what actions to take, and how to use resources to achieve goals.

Mission Statement

A broad declaration of an organization’s purpose that identifies its products and customers, distinguishing it from competitors.

SWOT Analysis

A planning exercise in which managers identify internal organizational strengths (S) and weaknesses (W) and external environmental opportunities (O) and threats (T).

Corporate-level Strategy

A plan that indicates in which industries and national markets an organization intends to compete.

Business-level Strategy

A strategy outlining specific methods a division or organization will use to compete effectively against its rivals.

Functional-level Plan

Goals that the managers of each function will pursue to help their division attain its business-level goals.

Single-use Plans

Plans developed to handle non-programmed decision-making in unusual or one-of-a-kind situations.

Standing Plans

Plans used in situations where programmed decision making is appropriate, including policies, rules, and standard operating procedures.

Hypercompetition

Intense and ongoing competition brought about by advancing technology or changing customer tastes.

Global Strategy

A strategy with little to no customization to suit specific needs of customers in different countries, aimed at lowering production costs.

Multidomestic Strategy

Customizing products and marketing strategies to specific national conditions to gain local market share.

Diversification

Expanding a company’s business operations into a new industry to produce new kinds of valuable goods or services.

Synergy

The value created when two divisions cooperate beyond what they would create operating independently.

Time Horizon

The period of time over which plans are intended to apply or endure.