OM
1. Foundations of Management Theories
• Classical Scientific Management (Q1, Q5, Q8)
o Focus: Breaking down tasks into smaller, efficient steps.
o Example: A cashier’s tasks divided into counting cash, issuing receipts, and checking balances.
o Strength: Efficiency and productivity.
o Weakness: Can feel too strict or robotic.
• Human Relations Theory (Q2)
o Focus: Employee motivation and relationships.
o Example: A manager recognizing small achievements to boost morale.
o Principle: Happy employees = more productivity.
• Administrative Management (Henri Fayol)
o Key Principle: Unity of Command (Q3) → Each worker should only report to one manager to avoid confusion.
• Modern Theories
o Quantitative Management (Q5) → Uses data, computer models, and statistics in decision-making.
o Contingency Theory (Q6–Q7) → "It depends" approach; managers adjust to specific situations. Example: Hiring temporary nurses during staff shortage.
2. Managerial Functions & Skills
• Functions (Q4)
o Planning → setting goals, assigning tasks.
o Controlling → monitoring progress, enforcing rules.
• Skills (Q8, Q13)
o Technical Skills → Using machines, tools, software.
o Human Skills → Communicating, motivating, teamwork.
o Conceptual Skills → Big-picture thinking (e.g., CEO making long-term vision).
3. Managerial Roles (Henry Mintzberg)
• Interpersonal Roles
o Leader (Q9) → Motivating, guiding staff.
o Liaison (Q10) → Building networks (e.g., principal talking to LGU, parents).
• Informational Roles
o Monitor (Q11) → Collecting and analyzing reports/data.
o Disseminator → Sharing info to employees.
o Spokesperson → Representing the company outside.
• Decisional Roles
o Disturbance Handler (Q12) → Resolving conflicts (e.g., labor strike).
o Resource Allocator (Q14) → Managing budget and resources.
o Entrepreneur → Innovating, starting new projects.
4. Business Environment Tools
• PEST Analysis (Q15, Q17, Q20)
o Political → Laws, taxes, regulations.
o Economic → Inflation, wages, costs.
o Social → Culture, lifestyle, trends.
o Technological → Innovations, AI, robotics.
• SWOT Analysis (Q16, Q21, Q23, Q45)
o Strengths → Internal advantages.
o Weaknesses → Internal limitations.
o Opportunities → External chances for growth.
o Threats → External risks.
• Porter’s Five Forces (Q18, Q22)
o Supplier Power → Price of raw materials.
o Buyer Power → Customer influence.
o Rivalry → Competition level.
o Threat of New Entrants → New competitors.
o Substitutes → Alternative products.
• International Business Environment (Q19)
o Expanding abroad considers culture, laws, and global competition.
5. Economic Roles of Business
• Jobs & Taxes
o Creating jobs (Q24).
o Helping gov’t provide social services through taxes (Q25, Q27).
• Markets & Products
o Innovating new products (Q26).
o Increasing Gross National Income via exports (Q29).
• CSR (Corporate Social Responsibility)
o Improving quality of life (Q28).
• Overall Role
o Businesses are key drivers of economic development (Q30).
6. Stages of Economic Development (Rostow’s Model)
1. Traditional Society (Q31) → Agriculture-based, manual labor.
2. Preconditions for Take-Off (Q32) → Using machines, early industries.
3. Take-Off (Q33) → Rapid industrialization and manufacturing boom.
4. Drive to Maturity (Q35) → Investments in technology & infrastructure.
5. High Mass Consumption (Q34) → Focus on services and consumerism.
• Other Factors (Q36–Q37)
o Urbanization → Shift from rural to city living.
o Social Conditions → Literacy, health, infrastructure.
7. Planning in Management
• Characteristics of Planning (Q38–Q39)
o Forward-looking → Anticipates risks.
o Includes goals + action plan.
• Types of Plans
o Strategic Plan (Q40, Q44) → Long-term, overall direction.
o Tactical Plan (Q41) → Medium-term, yearly objectives.
o Operational Plan (Q43) → Daily/weekly, short-term.
o Contingency Plan (Q42, Q48) → Backup plan for emergencies.
• Planning Tools & Techniques
o SWOT Analysis (Q45).
o Gantt Chart (Q46) → Timeline scheduling.
o Break-Even Analysis (Q47) → Point where sales = expenses.
o Benchmarking (Q49) → Learning from best practices of c
ompetitors.
o SMART Goals (Q50) → Specific, Measurable, Achievable, Relevant, Time-bound.