The Nature of Management (Chapter 6)

These flashcards summarize key concepts from Chapter 6 on the nature of management, including definitions of essential terms and concepts that will aid in understanding management principles.

Management

A process designed to achieve an organization's objectives by using its resources effectively and efficiently.

Staffing

The hiring of people to carry out the work of the organization.

Downsizing

The elimination of a significant number of employees from an organization.

Mission Statement

A declaration of an organization’s fundamental purpose and basic philosophy.

Goals

Aspirational statements written in general terms reflecting what an organization wants to achieve over the long term.

Objectives

Measurable benchmarks that derive from the organization’s mission and goals.

Key Performance Indicators (KPIs)

Specific and quantitative metrics measured to track progress toward objectives.

Strategic Plans

Plans that establish the long-range objectives and overall strategy of a firm.

Tactical Plans

Short-range plans designed to implement activities and objectives specified in the strategic plan.

Operational Plans

Very short-term plans that specify actions for individuals or work groups to achieve tactical plans.

Crisis Management (Contingency Planning)

A planning element that deals with potential disasters such as product tampering or natural disasters.

Organizing

The structuring of resources and activities to accomplish objectives efficiently and effectively.

Directing

Motivating and leading employees to achieve organizational objectives.

Controlling

The process of evaluating and correcting activities to keep the organization on course.

High-Level Management

Includes top executives with overall responsibility for the organization.

Middle Management

Responsible for tactical and operational planning based on guidelines from high-level management.

Front-Line Management

Supervises workers and daily operations of the organization.

Technical Expertise

Specialized knowledge and training needed for management roles.

Conceptual Skills

The ability to think in abstract terms and see how parts fit together to form a whole.

Analytical Skills

The ability to identify relevant issues and understand their importance.

Human Relations Skills

The ability to deal with people effectively, inside and outside the organization.

Leadership

The ability to influence employees to work toward organizational goals.

Autocratic Leaders

Leaders who make all decisions without employee input.

Democratic Leaders

Leaders who involve employees in decision-making processes.

Employee Empowerment

Empowering employees to take on responsibilities and make decisions about their jobs.

managers

those individuals in organizations who make decisions about the use of resources and who are concerned with planning, organizing, staffing, directing, and controlling the organization’s activities to reach its objectives.

planning

the process of determining the organization’s objectives and deciding how to accomplish them; the first function of management.

business model

how a firm creates, delivers, and is organized to operate and provide value to stakeholders.

financial managers

those who focus on obtaining needed funds for the successful operation of an organization and using those funds to further organizational goals

production and operations managers

those who develop and administer the activities involved in transforming resources into goods, services, and ideas ready for the marketplace.

human resources managers

those who handle the staffing function and deal with employees in a formalized manner.

marketing managers

those who are responsible for planning, pricing, and promoting products and making them available to customers.

information technology (IT) managers

those who are responsible for implementing, maintaining, and controlling technology applications in business, such as computer networks.

administrative managers

those who manage an entire business or a major segment of a business; they are not specialists but coordinate the activities of specialized managers.

free-rein leaders

leaders that let their employees work without much interference.

authentic leaders

leaders that are passionate about the goals and mission of the company and form longterm relationships with stakeholder

servant leaders

leaders that consider the needs of their employees and form strong relationships with stakeholder

brainstorming

a technique in which group members spontaneously suggest ideas to solve a problem.

agenda

a calendar, containing both specific and vague items, that covers short-term goals and long-term objectives.

networking

the building of relationships and sharing of information with colleagues who can help managers achieve the items on their agendas.