Management Principles and Planning

The process of setting goals, allocating resources, and coordinating activities to achieve organizational objectives.

The ability to achieve goals effectively and efficiently, using the least resources and time.

The ability to achieve the desired outcomes and reach the intended goals.

The process of setting a clear path for action to achieve specific goals

The ability to influence and guide others towards achieving organizational objectives.

The process of arranging tasks, resources, and employees effectively to achieve organizational goals.

The process of monitoring progress, evaluating performance, and making adjustments to ensure goals are met.

The ability to understand and manage emotions, communicate effectively, and build strong relationships.

A high-level strategy that focuses on managing and directing an entire organization to achieve long-term goals. This involves setting overall direction, allocating resources, and ensuring alignment across different departments and functions.

A strategy that focuses on developing competitive strategies for specific products or markets. This involves researching market trends, analyzing competitors, and developing unique value propositions.

A strategy that involves making investments in strategic business units (SBUs) based on their market growth and relative market share.

A framework used to analyze SBUs based on their market growth rate and relative market share. It helps identify opportunities for investment, growth, and divestment.

SBUs with high market growth and high market share. They are typically profitable and have strong potential for future growth. The company should invest in these units to capitalize on their opportunities.

SBUs with high market share but low market growth. These units generate a high amount of cash, but their future potential is limited. The company should maintain these units to maximize their cash flow.

SBUs with low market share and low market growth. They are typically unprofitable and may be a drain on company resources. The company may consider divesting these units or minimizing their investment.

SBUs with low market share but high market growth. They have the potential to become stars, but they require significant investment to gain market share. Companies have to carefully evaluate whether to invest further or divest.

Products with low growth rates and high market share, generating steady cash flow that can be reinvested in other business units.

Products with both low growth and low market share. These often require divestment or phasing out.

A strategic approach focusing on how a company competes in a single business or industry.

A strategy aimed at minimizing cost and offering products at the lowest price in the market. Suitable for a broader market range.

Providing unique or superior products or services to stand out from competitors. Targets a broader market scope.

Aims to be the cheapest within a specific niche or narrow market segment.

Provides unique or differentiated products or services to a specific niche market. Focuses on a narrow market range.

The process of planning for unexpected events or situations where the organization has no control.

The point where competition in the market peaks, leading to falling product prices due to competition for market share. Weak competitors exit the market and sales slow down.

Stage where sales decrease dramatically due to factors like changing consumer behaviour, technological advancements, or internal issues.

Creating smaller, specialized units within an organization to focus on specific tasks to improve efficiency and utilization of skills.

The process of exchanging resources and coordinating activities between different departments or organizations.

A challenge faced by organizations where the focus on specialized tasks can lead to limited learning, reduced experience, and skill gaps.

The challenge of integrating information and making coordinated decisions across different units with limited information and time pressures.

Balancing the need for specialized tasks with the need for coordination among departments and teams.

Balancing centralized control with the need for flexibility and autonomy in decision-making.

Creating multiple possible future scenarios to adapt strategies accordingly, considering best-case, worst-case, and moderate-case scenarios.

Strategy aimed at managing sudden and severe events that could harm the organization. It includes developing emergency response protocols and communication plans.

The process of tracking a product's journey in the market from its launch to its removal, each stage having unique marketing, financial, and management strategies.

The first stage of the Product Life Cycle, where a product is introduced to the market, sales are low due to lack of awareness, advertising is crucial, and competitors are minimal, resulting in low profits.

The second stage of the Product Life Cycle, where sales and profits increase as the product gains recognition. Competitors start offering similar products, creating a need for differentiation and expanded distribution.

The tendency for group discussions to result in more extreme opinions, pushing individuals further towards their initial stance.

A phenomenon where individuals in a group exert less effort than they would individually, leading to reduced overall performance.

A type of conflict that arises from differences in opinions and approaches regarding how work should be done.

A source of power derived from one's knowledge, skills, and expertise in a specific area.

A leadership style characterized by clear goals, structured procedures, and motivation through rewards and punishments.

A leadership style that focuses on inspiring and motivating followers towards a shared vision, emphasizing collaboration and personal growth.

A performance evaluation method that gathers feedback from multiple sources, such as superiors, peers, subordinates, and external stakeholders.

An evaluation bias where a single positive trait leads to an overall positive assessment, overlooking areas for improvement.