Fundamentals of Management Study Notes

The four basic management functions are planning, organizing, leading, and controlling.

Three fundamental management skills are technical, interpersonal, and conceptual.

The three perspectives of the classical management perspective are scientific management, administrative management, and the classical management perspective today.

<p>The Hawthorne effect refers to the tendency for people to behave differently when they know they are being observed or studied.</p> Signup and view all the answers

<p>The three perspectives of the quantitative management perspective are management science, operations management, and the quantitative management perspective today.</p> Signup and view all the answers

<p>The general environment includes broad economic, technological, political-legal, and socio-cultural factors that affect all businesses. The task environment refers to the specific factors that directly impact an organization's operations, such as competitors, customers, suppliers, regulators, and strategic partners.</p> Signup and view all the answers

<p>Ethical leadership involves creating a culture of integrity and ethical behavior within the organization, while corporate governance refers to the system of rules, policies, and practices that guide the conduct of a company and ensure accountability to stakeholders.</p> Signup and view all the answers

<p>The two main arguments for social responsibility in organizations are that it benefits society and improves the company's image.</p> Signup and view all the answers

<p>The two main arguments against social responsibility in organizations are that it diverts resources from the company's core business and that it gives businesses too much power.</p> Signup and view all the answers

<p>Exporting and importing</p> Signup and view all the answers

<p>False</p> Signup and view all the answers

<p>Three determinants of organizational culture are the organization's founders, the industry in which the organization operates, and the organization's size.</p> Signup and view all the answers

<p>The four purposes of organizational goals are to provide direction, to measure progress, to evaluate performance, and to motivate employees.</p> Signup and view all the answers

<p>Strategic plans are long-term plans that outline the organization's overall direction, while tactical plans focus on how to implement the strategic plans, and operational plans are short-term plans that detail how to carry out the tactical plans.</p> Signup and view all the answers

<p>Porter's generic strategies are cost leadership, differentiation, and focus.</p> Signup and view all the answers

<p>The three corporate-level strategies are single-product strategy, related diversification, and unrelated diversification.</p> Signup and view all the answers

<p>The BCG matrix classifies business units based on their market share and market growth rate.</p> Signup and view all the answers

<p>The two types of single-use plans are programs and projects.</p> Signup and view all the answers

<p>The three types of standing plans are policies, standard operating procedures, and rules and regulations.</p> Signup and view all the answers

<p>Decision making under certainty occurs when the outcome of each alternative is known. Decision making under risk occurs when the outcome of each alternative is uncertain, but the probabilities of the outcomes are known. Decision making under uncertainty occurs when the outcome of each alternative is uncertain, and the probabilities of the outcomes are not known.</p> Signup and view all the answers

<p>The steps in rational decision making are recognizing and defining the decision situation, identifying alternatives, evaluating alternatives, selecting the best alternatives, implementing the chosen alternative, and following up and evaluating the results.</p> Signup and view all the answers

<p>The administrative model of decision making is a more realistic approach to decision making than the classical model. It recognizes that managers often have incomplete information and limited cognitive abilities.</p> Signup and view all the answers

<p>Escalation of commitment is the tendency to continue investing in a failing course of action even when it is clear that the course of action is not working.</p> Signup and view all the answers

<p>The three forms of group and team decision making in organizations are interacting groups or teams, Delphi groups, and nominal groups.</p> Signup and view all the answers

<p>The advantages of group and team decision making include more information, more perspectives, and greater acceptance of the decision.</p> Signup and view all the answers

<p>Entrepreneurship plays a vital role in society by creating jobs, fostering innovation, and driving economic growth.</p> Signup and view all the answers

<p>The three major ways to finance a new business are using personal resources, seeking strategic alliances, and obtaining loans.</p> Signup and view all the answers

<p>Functional departmentalization groups jobs based on similar skills and activities, while product departmentalization groups jobs based on the products the organization produces. Customer departmentalization groups jobs based on the customers the organization serves, and location departmentalization groups jobs based on the geographic location of the organization.</p> Signup and view all the answers

<p>The chain of command is the line of authority that extends from the top of the organization to the bottom.</p> Signup and view all the answers

<p>A tall organization has many levels of management, while a flat organization has few levels of management.</p> Signup and view all the answers

<p>Delegation is the process of assigning tasks to subordinates.</p> Signup and view all the answers

<p>The three basic forms of organization design are functional (U-form) design, conglomerate (H-form) design, and divisional (M-form) design.</p> Signup and view all the answers

<p>Matrix design is a structure that combines functional and divisional departmentalization.</p> Signup and view all the answers

<p>The forces for change in organizations can be external, such as changes in technology, competition, economics, or government regulations, or internal, such as changes in strategy, size, technology, or workforce composition.</p> Signup and view all the answers

<p>The two main steps in the Lewin model of change are unfreezing and refreezing.</p> Signup and view all the answers

<p>The four main areas of organization change are organization structure and design, technology and operations, people, attitudes, and behaviors, and business processes.</p> Signup and view all the answers

<p>Organization development (OD) is a planned, systematic process of change that uses behavioral science knowledge to improve an organization's effectiveness and health, which can include improving group effectiveness, changing organizational culture, and managing conflict.</p> Signup and view all the answers

<p>The three forms of innovation are radical versus incremental innovations, technical versus managerial innovations, and product versus process innovations.</p> Signup and view all the answers

<p>HRM is of strategic importance because it helps an organization attract, develop, and retain a high-quality workforce, which is essential to achieving organizational goals.</p> Signup and view all the answers

<p>The three main steps in human resource planning are job analysis, forecasting human resource demand and supply, and matching human resource supply and demand.</p> Signup and view all the answers

<p>The four main methods of selecting human resources are application blanks, tests, interviews, and assessment centers.</p> Signup and view all the answers

<p>The two main types of training and development are on-the-job training and off-the-job training.</p> Signup and view all the answers

<p>The three main methods of performance appraisal are written essays, critical incidents, and graphic rating scales.</p> Signup and view all the answers

<p>The three main types of compensation are wages, salaries, and incentives.</p> Signup and view all the answers

<p>Wages are paid on an hourly basis, while salaries are paid on a monthly basis.</p> Signup and view all the answers

<p>The two main types of benefits are legally required benefits and voluntary benefits.</p> Signup and view all the answers

<p>The psychological contract is a set of unwritten expectations that employees and employers have of each other.</p> Signup and view all the answers

<p>The ‘Big Five’ personality traits are openness to experience, conscientiousness, extraversion, agreeableness, and neuroticism.</p> Signup and view all the answers

<p>Emotional intelligence is the ability to perceive, understand, manage, and use emotions.</p> Signup and view all the answers

<p>The three work-related attitudes are job satisfaction, organizational commitment, and affect and mood in organizations.</p> Signup and view all the answers

<p>The four major types of workplace behavior are performance behaviors, withdrawal behaviors, organizational citizenship, and dysfunctional behaviors.</p> Signup and view all the answers

<p>The needs hierarchy approach proposes that people are motivated by a hierarchy of needs, while the two-factor theory proposes that job satisfaction and dissatisfaction are caused by different sets of factors.</p> Signup and view all the answers

<p>The two main components of expectancy theory are effort-to-performance expectancy and performance-to-outcome expectancy.</p> Signup and view all the answers

<p>Equity theory proposes that people are motivated to maintain a balance between their inputs and outputs relative to others.</p> Signup and view all the answers

<p>Goal-setting theory proposes that people are more motivated to achieve goals that are specific, challenging, and accepted.</p> Signup and view all the answers

<p>The two main types of reinforcement in organizations are positive reinforcement and negative reinforcement.</p> Signup and view all the answers

<p>The three main types of reward systems are merit reward systems, incentive reward systems, and team and group incentive reward systems.</p> Signup and view all the answers

<p>Popular motivational strategies include empowering employees, using flexible work arrangements, and designing rewarding systems.</p> Signup and view all the answers

<p>Legitimate power is based on the position that a person holds, reward power is based on the ability to give rewards, coercive power is based on the ability to punish, referent power is based on personal characteristics, and expert power is based on knowledge or skills.</p> Signup and view all the answers

<p>Situational approaches to leadership argue that the best leadership style depends on the situation. Common situational theories include LPC theory, path-goal theory, and Vroom’s decision tree approach.</p> Signup and view all the answers

<p>Transformational leadership is a style of leadership that inspires and motivates followers to achieve extraordinary results.</p> Signup and view all the answers

<p>Strategic leadership is the ability to develop and implement a vision that will position the organization for success.</p> Signup and view all the answers

<p>Cross-cultural leadership is the ability to lead effectively in a diverse global environment.</p> Signup and view all the answers

<p>Ethical leadership is the ability to lead in a morally sound and ethical manner.</p> Signup and view all the answers

<p>Political behavior in organizations is the use of power and influence to achieve personal or organizational goals.</p> Signup and view all the answers

<p>Impression management is the process of influencing the perceptions that others have of us.</p> Signup and view all the answers