Management After Midterm - Lecture 1: Decision-Making

**[Management after midterm]** **[Lecture 1: Decision-making: The Essence of The Manager's Job]** - **Decision Making:** - **Decision:** Making a choice from two or more alternatives. +-----------------------------------+-----------------------------------+ | - **Top-Level Managers\'...

**[Management after midterm]** **[Lecture 1: Decision-making: The Essence of The Manager's Job]** - **Decision Making:** - **Decision:** Making a choice from two or more alternatives. +-----------------------------------+-----------------------------------+ | - **Top-Level Managers\' | - **Middle and Lower-Level | | Decisions:** | Managers\' Decisions:** | +===================================+===================================+ | - Set organizational goals. | - Create weekly or monthly | | | production schedules. | | - Choose new markets. | | | | - Handle problems. | | - Determine products or | | | services to offer. | - Allocate pay raises. | | | | | | - Selecting employees | +-----------------------------------+-----------------------------------+ - **Types of Decisions:** +-----------------------------------+-----------------------------------+ | **1. Programmed:** | **1. Non-Programmed:** | +===================================+===================================+ | - Routine decisions to | - non-recurring decisions. | | establish guidelines or | | | procedures. | - Require a customized | | | approach. | | **Example:** Reordering | | | inventory. | **Example:** Entering a new | | | market. | +-----------------------------------+-----------------------------------+ | **2. Strategic:** | **2. Tactical Decisions:** | +-----------------------------------+-----------------------------------+ | - Long-term that shape | - Short-term decisions to | | direction. | support strategic goals. | | | | | **Example:** Mergers and | **Example:** Launching a | | acquisitions. | marketing campaign. | +-----------------------------------+-----------------------------------+ | **3. Operational Decisions:** | | | | | | \- Day-to-day decision. | | | | | | **Example:** scheduling staff | | | shifts. | | +-----------------------------------+-----------------------------------+ - **[The Decision-making Process:]** 1- Identifying the Problem. 2- Identifying Decision Criteria. 3- Allocating تخصيص of Weights the Criteria. 4- Developing Alternatives. 5- Analyzing Alternatives. 6- Selecting An Alternative. 7- Implementing The Alternative. 8- Evaluating The Decision's Effectiveness. - **[The steps of decision-making:]** **1-** **Identifying The Problem:** - A problem becomes a problem when a manager becomes aware of it. - There is pressure to solve the problem. - The manager must have the authority, information, or resources needed to solve the problem. **2- Identifying Decision Criteria:** - Costs - Risks - Outcomes **4- Developing Alternatives:** Identifying viable alternatives. **6- Selecting An Alternative:** Choosing the best alternative. **8- Evaluating The Decision's Effectiveness:** is judged by its outcomes. - **[Decision-making Styles:]** Types of Decision Makers: **1. Directive:** minimal information and a few alternatives. **2. Analytic:** careful decisions. **3.** **Conceptual**: broad outlook and many alternatives. **4. Behavioral**: working well with others and being receptive. - **[Characteristics Of An Effective Decision-making Process:]** - It focuses on what is important. - It is logical and consistent and rational. - It requires information and analysis. - It gathers relevant information and informed opinions. - It is straightforward, reliable, easy to use, and flexible. - **[Challenges In Decision-making:]** **1. Information Overload**: leads to analysis paralysis عجز **2. Biases and Heuristics** **طرق حل المشكلات** : lead to poor decisions. **3. Uncertainty and Risk**: complicate decision-making. - **[Improving Decision-making Skills:]** **1. Encouraging a Culture of Open Communication**: encouraging team members to share their ideas and concerns. **2. Using Technology:** help with decision-support systems and data analytics. **3. Continuous Learning and Adaptation**: learning from past decisions to refine future decisions. - **[Key Factors Affecting Decision-making:]** **1. Individual Factors:** - **Cognitive Biases:** Personal biases, such as confirmation bias or overconfidence. - **Experience and Expertise: of** manager's background. - **Emotions:** impact decision-making. **2. Organizational Factors:** - **Culture:** whether collaborative or hierarchical. - **Structure:** who has the authority to make them. - **Policies and Procedures:** guide or constrain decision-making. **3.** **Environmental Factors:** - **Market Conditions:** Economic trends, competition, and customer preferences. - **Regulatory Environment:** impose constraints on decision options. - **Technological Changes:** create new opportunities and challenges. **4. Information Factors:** - **Availability of Information:** Access to accurate and relevant data. - **Quality of Information:** The reliability and credibility of information sources. - **Information Overload:** lead to confusion and analysis paralysis. **5.Social Factors:** - **Team Dynamics:** The relationships and interactions among teams. - **Influence of Stakeholders أصحاب المصلحة:** Their opinions can shape decisions. - **Groupthink:** conform within a group lead to decision-making. **[Lecture 2: Introduction to Entrepreneurship]** - **What Is** **Entrepreneurship?** - To turn an idea into a business. - Is the process of designing, launching and running a new business, initially a small business. - Offering a product, process or service for sale or rent. - **What does Entrepreneurship do?** - Entrepreneurs assemble and then integrate all the resources needed like: (money, people, business model and strategy) to transform the idea into a business. - **Corporate Entrepreneurship:** +-----------------------------------+-----------------------------------+ | **Entrepreneurial Firms** | **Conservative Firms** | +===================================+===================================+ | Proactive. | "wait and see" posture. | | | | | Innovative. | Less innovative. | | | | | Risk taking. | Risk averse. | +-----------------------------------+-----------------------------------+ **Why Become an Entrepreneur?** - Desire to be their own boss. - Desire to pursue their own ideas. - Financial rewards. - **[Characteristics of Successful Entrepreneurs:]** \- Passion helps them: - to learn. - to work hard. - to overcome setbacks. - to listen to feedback. - Perseverance. **2. Product/Customer Focus:** on **good products** that satisfy customers. **Ex:** Uber's founder and CEO Travis Kalanick. **3. Tenacity مثابرة Despite Failure:** new business idea require experimentation before a success is attained. **4. Execution Intelligence:** - The ability to fashion a solid idea into a viable قابل للتطبيق business. - Develop business model, putting team together, raise money, establish partnership, manage finance. - **[The Top 10 reasons for Business Failure:]** 1\. Failure to understand your market and customers. 2\. Opening a business in an industry that isn't profitable. 3\. Failure to understand and communicate what you are selling. 4\. Inadequate financing. 5\. Failure to anticipate توقع market reactions and/or market change. 6\. Overdependence on a single customer. 7\. No customer strategy. 8\. Not knowing when to say "no". 9\. Poor management. 10\. No planning. - **[Common Myths About Entrepreneurs:]** 1\. Are Born, Not Made. 2\. Are Gamblers. 3\. Are Motivated Primarily by Money. 4\. They Should Be Young and Energetic. 5\. Love the Spotlight. - **Myth 1:** Entrepreneurs Are Born, Not Made: - It is a matter of environment, life experiences, and personal choices. They must be Creative, optimistic...). - **Myth 2:** Entrepreneurs are Gamblers: - They are risk takers. - Their jobs are less structured, and more uncertain about possibilities. - They have a need to achieve and set challenging goals. - **Myth 3:** Entrepreneurs are motivated primarily by money: - They seek financial rewards, but it isn't the reason for starting businesses. They believe that chasing money is distracting. - **Myth 4:** Entrepreneurs should be young and energetic: - It's easily spread out over age ranges. - To be a strong entrepreneur, you must be energetic, experienced, mature, with a solid reputation, and successful. - **Myth 5:** Entrepreneurs Love The Spotlight: - While some entrepreneurs are Showy like the Founders Facebook, Apple...., the others are not, like the founders of YouTube, Netflix... - **[Type Of Star-up Firms:]** - provide their owners with an income comparable to what they would earn as employees. - offer common products or services to customers. - **Examples**: Dry cleaners, restaurants, accounting firms, retail stores, and hairstyling salons. - Allow owners to seek a specific lifestyle while earning a living. - Not highly innovative, do not experience rapid growth, revolve around sports, hobbies, or personal interests. - **Examples:** Personal trainers, golf and tennis professionals, and tour guides. **3. Entrepreneurial Firms:** - Bring new products and services to the market. - Creating and sharing value with customers. - Recognize opportunities and Develop products/services - **Examples**: Dropbox, Facebook, and LinkedIn are well-known. - **[The Entrepreneurial Process:]** **What is an opportunity?** Circumstances that create a need for a new product, service, or business. **Opportunity Recognition:** Identify a product or service that people need and are willing to buy. - **[Four essential qualities of an opportunity:]** 1\. Attractive. 2\. Timely. 3\. Durable. 4\. Anchored in a product, service, or business that creates or adds value for its buyer or end user. - **[Three ways to identify an opportunity:]** **1. Observing Trends:** - **The most important trends are:** \- Economic forces. \- Technological advances. \- Social forces. \- Political and regulatory change. **2. Solving A Problem:** - noticing a problem and finding a way to solve it. **3- Finding Gaps in the Market place.** **[\ ]** **[Lecture 3: Global Management And ]** **[Workforce Diversity]** - **Global Management:** - Global management is managing business operations across countries, it involves **planning**, **organizing**, **leading**, and **controlling across borders**. - Requires understanding global markets, cultures, and regulations/rules. - Includes strategies like market entry, supply chain management, and global marketing. - Focuses on cross-cultural communication and financial management. - Aims to leverage قوة opportunities and reduce risks in diverse markets. - **Scope Of Global Management**: **1. International Markets:** Analyzing market conditions, consumer behaviors, and competition in different countries. **2. Cross-Cultural Communication:** Communicating and negotiating effectively with people from different cultural backgrounds. **3. Global Supply Chain Management:** Coordinating production, logistics, and distribution across multiple countries. **4. Global Strategy Development:** Formulating strategies that cope with both global objectives and local market needs. - **[The Importance of Global Management In Today's Economy:]** **1. Access To New Markets:** - **Market Expansion:** Helps to reach new customers, boosting sales and revenue دخل. - **Diversificationتنوع :** Lowers reliance on one market, reducing risks from economic downturns in any region. **2. Competitive Advantage:** - **Resource Utilizationاستفادة :** Accessing global resources like raw materials, talent, and technology. - **Economies of Scale:** helps reduce costs through bulk جملةbuying. **3. Innovation And Learning:** - **Knowledge Transfer:** promotes innovation via diverse/ different ideas. - **Best Practices:** enhance/promote overall organizational performance. **4. Talent Acquisition And Management:** - **Global Workforce:** enables to hire top skills and expertise from around the world. - **Diverse Perspectives:** boosts creativity, problem-solving, and decision-making through different viewpoints. **5. Risk Management:** - **Market Diversification:** reduce/offset risks associated with political instability, economic fluctuations/crisis تقلبات, or natural disasters in any single country. - **Regulatory Flexibility:** provide strategic flexibility and resilience. **\ ** **6.Technological Advancements:** - **Digital Transformation:** uses technology to improve communication, collaboration, and efficiency. - **Innovation Hubs محاور:** Setting up operations in technology-driven regions fosters innovation, helping organizations stay ahead in their industries. - **Styles Of Management In Different Countries:** **1. Multinational Corporation (MNC):** Refers to all types of international companies that maintain operations in multiple countries. **2. Multidomestic Corporation (MNC):** **Decentralizes** management and other decisions to the local country. **3. Global Company**: An MNC that **centralizes** management and other decisions in the home country. **4. Transnational Or Borderless Organization:** An MNC In Which Artificial Geographical **Barriers Are Eliminated**. - **[How do Organizations go Global?]** **1. Global Sourcing:** purchasing/buying the cheapest materials or labor in the world. **2. Exporting التصدير:** making products domestically and selling them abroad. **3.** **Importing الاستيراد** acquiring/demanding products made abroad and selling them domestically. **4. Licensing:** an organization gives another organization the right to make or sell its products using its technology or product specifications. **5. Franchising**: an organization gives another organization the right to use its name and operating methods. **6**. **Strategic Alliance**: a partnership between an organization and one or more foreign company partner(s) to share resources and knowledge. **7. Joint مشترك Venture**: the partners agree to form a separate, independent organization for some business purpose. **8**. **Foreign Subsidiary**: directly investing in a foreign country by setting up a separate and independent production facility or office. - **Workforce Diversity:** The ways in which people in an organization are different from and similar to one another including differences in race, gender, age, and culture. - **Dimensions Of Diversity:** **1. Demographic Diversity**: Variations in age, gender, ethnicity, and other demographic factors. **2. Cognitive Diversity**: Differences in thinking styles, perspectives, and approaches to problem-solving. **3. Experiential Diversity:** Diverse professional backgrounds, educational experiences, and life experiences. **Surface diversity** **Deep diversity** ----------------------------------------------------------------------------------------------------------- ----------------------------------------------------------- Obvious differences that might lead to stereotypes but don\'t always show how people truly think or feel. Differences in values, personality, and work preferences. **Benefits of Workforce Diversity:** **1. Enhanced Innovation:** different perspectives and ideas lead to innovation. **2.** **Improved Performance:** diverse workforces experience higher levels of employee engagement, satisfaction, and productivity which improve performance. **3. Better Decision-Making**: Diverse teams can think about different viewpoints and information, leading to effective decision-making. **Challenges In Managing Diversity and Global Management:** **1. Stereotyping:** Judging someone based on stereotypes about their group. **2. Discrimination:** When someone behaves unfairly because of their prejudice against others. **3.** **Communication Barriers:** Differences in language and cultural norms can lead to misunderstandings and miscommunications. **4. Conflict Management:** conflicts arising from differing perspectives and approaches. **5.** **Cultural Differences:** Different cultural norms, values, and business may lead to Misunderstandings or cultural insensitivity which reduce collaboration, and loss of business opportunities. **6. Glass Ceiling**: the invisible barrier that separates women and minorities from top management positions. - **Legal And Regulatory Compliance:** Each country has its own laws for business, like labor, trade, and taxes. Following these laws in different places needs careful planning and legal advice. - **Economic Variability:** Economic factors like inflation, currency changes, and growth vary by region. Global managers must adjust strategies to stay profitable and sustainable**.**