Business Environment and Response

Business Environment and Management

• Today's business climate results in business pressures, responses, and support.
• Business pressures refer to the factors that affect a business, such as government regulations, competition, and globalization.
• Responses refer to the actions taken by companies to counter these pressures.

Business Environmental Factors

• Examples of business environmental factors include government regulations, competition, market conditions, customer demand, and globalization.
• These factors affect business with both pressures and opportunities.

Organization Response

• Organization response refers to the actions taken by companies to respond to business environmental factors.
• Examples of organization responses include new business models, agility, and decisions.

Management

• Management is a process by which organizational goals are achieved by using resources.
• Resources are considered inputs, and attainment of goals is viewed as outputs.
• The degree of success of the organization and the manager is often measured by output/input.

Resources

• The 5M resources include Man, Money, Method, Machine, and Material (but not Memory).

Interpersonal and Decisional Roles

• Interpersonal roles include Figurehead, Leader, and Liaison.
• Decisional roles include Disturbance handler, Resource allocator, Entrepreneur, and Spokesperson.

Decision Making

• The correct order of the steps to make a decision is: Define the problem, Construct a model, Identify possible solutions, and Compare, choose, and recommend a potential solution.

Business Intelligence and Decision Support Systems

• Business Intelligence (BI) is an umbrella term that combines architectures, tools, data-bases, analytical tools, applications, and methodologies.
• Decision Support Systems (DSS) are interactive computer-based systems that help decision makers utilize data and models to solve unstructured problems.
• BI is based on the transformation of data to information, then to decisions, and finally to actions.

Business Analytics and Performance Management

• Business analytics is used for monitoring and analyzing performance.
• Business Process Management (BPM) is a process by which organizational goals are achieved by using resources.
• Prediction is a field that represents the combination of computer technology, management science techniques, and statistics to solve real problems.