question

Accommodation

answer

A style of dealing with conflict involving cooperation on behalf of the other party but not being assertive about one's own interests

question

Accounting audits

answer

Procedures used to verify accounting reports and statements

question

Acquisition

answer

One firm buying another

question

Activity-Based costing (ABC)

answer

A method of cost accounting designed to identify streams of activity and then to allocate costs across particular business processes according to the mount of time employees devote to particular activities

question

Adapters

answer

Companies that take the current industry structure and its evolution as givens, and choose where to compete.

question

Adverse impact

answer

When a seemingly neutral employment practice has a disproportionately negative effect on a protected group.

question

Advertising support model

answer

Charging fees to advertise on a site.

question

affective conflict

answer

Emotional disagreement directed toward other people

question

affiliate model

answer

Charging fees to direct site visitors to other companies' sites

question

affirmative action

answer

Special efforts to recruit and hire qualified members of groups that have been discriminated against in the past.

question

Alderfer's ERG theory

answer

A human needs theory postulating that people have three basic sets of needs that can operate simultaneously

question

arbitration

answer

The use of a neutral third party to resolve a labor dispute.

question

assessment center

answer

A managerial performance test in which candidates participate in a variety of exercises and situations.

question

assets

answer

The values of the various items the corporation owns.

question

Authentic leadership

answer

A style in which the leader is true to himself or herself while leading

question

autocratic leadership

answer

A form of leadership in which the leader makes decisions on his or her own and then announces those decisions to the group

question

autonomous work groups

answer

Groups that control decisions about and excution of a complete range of tasks

question

avoidance

answer

A reaction to conflict that involves ignoring the problem by doing nothing at all, or deemphasizing the disagreement.

question

balance sheet

answer

A report that shows the financial picture of a company at a given time and itemizes assets, liabilities, and stockholders' equity

question

balanced scorecard

answer

Control system combining four sets of performance measures: financial, customer, business process, and learning and growth

question

barriers to entry

answer

Conditions that prevent new companies from entering an industry

question

behavioral approach

answer

a leadership perspective that attempts to identify what good leaders do-that is, what behaviors they exhibit

question

benchmarking

answer

The process of comparing an organization's practices and technologies with those of other companies.

question

Bootlegging

answer

Informal work on projects, other than those officially assigned, of employees' own choosing and initiative

question

boundaryless organization

answer

organization in which there are no barriers to information flow.

question

bounded rationality

answer

`A less-than-perfect form of rationality in which decisions makers cannot be perfectly rational because decisions are complex and complete information is unavailable or cannot be fully processed.

question

Brainstorming

answer

A process in which group members generate as many ideas about a problem as they can; criticism is withheld until all ideas have been proposed.

question

bridge leaders

answer

A leader who bridges conflicting value systems or different cultures.

question

broker

answer

A person who assembles and coordinates participants in a network

question

budgeting

answer

The process of investigating what is being done and comparing the results with the corresponding budget data to verify accomplishments or remedy differences; also called budgetary controlling

question

buffering

answer

Creating supplies of excess resources in case of unpredictable needs

question

bureaucratic control

answer

The use of rules, regulations, and authority to guide performance

question

business incubators

answer

Protected environments for new, small businesses

question

business plan

answer

A formal planning step that focuses on the entire venture and describes all the elements involved in starting it.

question

Business strategy

answer

The major actions by which a business competes in a particular industry or market

question

Cafeteria benefit program

answer

An employee benefit program in which employees choose from a menu of options to create a benefit package tailored to their needs.

question

Caux Principles

answer

Ethical principles established by international executives based in Caux, Switzerland, in collaboration with business leaders from Japan, Europe, and the United States.

question

centralized organization

answer

An organization in which high-level executives make most decisions and pass them down to lower levels for implementation.

question

certainty

answer

The state that exists when decision makers have accurate and comprehensive information.

question

charismatic leader

answer

A person who is dominant, self-confident, convinced of the moral righteousness of his or her beliefs, and able to arouse a sense of excitement and adventure in followers.

question

chief information officer (CIO)

answer

Executive in charge of information technology strategy and development.

question

clan control

answer

Control based on the norms, values, shared goals, and trust among group members.

question

coaching

answer

Dialogue with a goal of helping another be more effective and achieve his or her full potential on the job.

question

coalitional model

answer

Model of organizational decision making in which groups with differing preferences use power and negotiation to influence decisions.

question

cognitive conflict

answer

Issue-based differences in perspectives or judgments.

question

cohesiveness

answer

The degree to which a group is attractive to its members, members are motivated to remain in the group, and members influence one another.

question

collaboration

answer

A style of dealing with conflict emphasizing both cooperation and assertiveness to maximize both parties' satisfaction.

question

comparable worth

answer

Principle of equal pay for different jobs of equal worth.

question

competing

answer

A style of dealing with conflict involving strong focus on one's own goals and little or no concern for the other person's goals.

question

competitive environment

answer

The immediate environment surrounding a firm; includes suppliers, customers, rivals, and the like.

question

competitive intelligence

answer

Information that helps managers determine how to compete better.

question

compliance-based ethics programs

answer

Company mechanisms typically designed by corporate counsel to prevent, detect, and punish legal violations.

question

computer-integrated manufacturing (CIM)

answer

The use of computer-aided design and computer-aided manufacturing to sequence and optimize a number of production processes.

question

concentration

answer

A strategy employed for an organization that operates a single business and competes in a single industry.

question

concentric diversification

answer

A strategy used to add new businesses that produce related products or are involved in related markets and activities.

question

conceptual and decision skills

answer

Skills pertaining to the ability to identify and resolve problems for the benefit of the organization and its members.

question

concurrent control

answer

The control process used while plans are being carried out, including directing, monitoring, and fine-tuning activities as they are performed.

question

conflict

answer

Opposing pressures from different sources, occurring on the level of psychological conflict or of conflict between individuals or groups.

question

conglomerate diversification

answer

A strategy used to add new businesses that produce unrelated products or are involved in unrelated markets and activities.

question

contingency plans

answer

Alternative courses of action that can be implemented based on how the future unfolds.

question

continuous process

answer

A process that is highly automated and has a continuous production flow.

question

control

answer

Any process that directs the activities of individuals toward the achievement of organizational goals.

question

controlling

answer

The management function of monitoring performance and making needed changes.

question

cooperative strategies

answer

Strategies used by two or more organizations working together to manage the external environment.

question

coordination by mutual adjustment

answer

Units interact with one another to make accommodations to achieve flexible coordination.

question

coordination by plan

answer

Interdependent units are required to meet deadlines and objectives that contribute to a common goal.

question

core competence

answer

A unique skill and/or knowledge an organization possesses that give it an edge over competitors.

question

corporate governance

answer

The role of a corporation's executive staff and board of directors in ensuring that the firm's activities meet the goals of the firm's stakeholders.

question

corporate social responsibility (CSR)

answer

Obligation toward society assumed by business.

question

corporate strategy

answer

The set of businesses, markets, or industries in which an organization competes and the distribution of resources among those entities.

question

cost competitiveness

answer

Keeping costs low to achieve profits and be able to offer prices that are attractive to consumers.

question

current ratio

answer

A liquidity ratio that indicates the extent to which short-term assets can decline and still be adequate to pay short-term liabilities.

question

customer relationship management (CRM)

answer

A multifaceted process focusing on creating two-way exchanges with customers to foster intimate knowledge of their needs, wants, and buying patterns.

question

custom-made solutions

answer

New, creative solutions designed specifically for the problem.

question

debt-equity ratio

answer

A leverage ratio that indicates the company's ability to meet its long-term financial obligations.

question

decentralized organization

answer

An organization in which lower-level managers make important decisions.

question

defenders

answer

Companies that stay within a stable product domain as a strategic maneuver.

question

delegation

answer

The assignment of new or additional responsibilities to a subordinate.

question

departmentalization

answer

Subdividing an organization into smaller subunits.

question

development

answer

Helping managers and professional employees learn the broad skills needed for their present and future jobs.

question

development project

answer

A focused organizational effort to create a new product or process via technological advances.

question

devil's advocate

answer

A person who has the job of criticizing ideas to ensure that their downsides are fully explored.

question

dialectic

answer

A structured debate comparing two conflicting courses of action.

question

differentiation

answer

An aspect of the organization's internal environment created by job specialization and the division of labor.

question

differentiation strategy

answer

A strategy an organization uses to build competitive advantage by being unique in its industry or market segment along one or more dimensions.

question

discounting the future

answer

A bias weighting short-term costs and benefits more heavily than longer-term costs and benefits.

question

diversification

answer

A firm's investment in a different product, business, or geographic area.

question

diversity training

answer

Programs that focus on identifying and reducing hidden biases against people with differences and developing the skills needed to manage a diversified workforce.

question

divestiture

answer

A firm selling one or more businesses.

question

divisional organization

answer

Departmentalization that groups units around products, customers, or geographic regions.

question

domain selection

answer

Entering a new market or industry with an existing expertise.

question

dynamic network

answer

Temporary arrangements among partners that can be assembled and reassembled to adapt to the environment.

question

ecocentric management

answer

Its goal is the creation of sustainable economic development and improvement of quality of life worldwide for all organizational stakeholders.

question

economic responsibilities

answer

To produce goods and services that society wants at a price that perpetuates the business and satisfies its obligations to investors.

question

economies of scope

answer

Economies in which materials and processes employed in one product can be used to make other, related products.

question

egoism

answer

An ethical system defining acceptable behavior as that which maximizes consequences for the individual.

question

emotional intelligence

answer

The skills of understanding yourself, managing yourself, and dealing effectively with others.

question

empowerment

answer

The process of sharing power with employees, thereby enhancing their confidence in their ability to perform their jobs and their belief that they are influential contributors to the organization.

question

entrepreneur

answer

Individual who establishes a new organization without the benefit of corporate sponsorship.

question

entrepreneurial orientation

answer

The tendency of an organization to identify and capitalize successfully on opportunities to launch new ventures by entering new or established markets with new or existing goods or services.

question

entrepreneurial venture

answer

A new business having growth and high profitability as primary objectives.

question

entrepreneurship

answer

The pursuit of lucrative opportunities by enterprising individuals.

question

environmental scanning

answer

Searching for and sorting through information about the environment.

question

environmental uncertainty

answer

Lack of information needed to understand or predict the future.

question

equity theory

answer

A theory stating that people assess how fairly they have been treated according to two key factors: outcomes and inputs.

question

ethical climate

answer

In an organization, the processes by which decisions are evaluated and made on the basis of right and wrong.

question

ethnocentrism

answer

The tendency to judge others by the standards of one's group or culture, which are seen as superior.

question

executive champion

answer

An executive who supports a new technology and protects the product champion of the innovation.

question

expatriates

answer

Parent-company nationals who are sent to work at a foreign subsidiary.

question

expectancy

answer

Employees' perception of the likelihood that their efforts will enable them to attain their performance goals.

question

expectancy theory

answer

A theory proposing that people will behave based on their perceived likelihood that their effort will lead to a certain outcome and on how highly they value that outcome.

question

external audit

answer

An evaluation conducted by one organization, such as a CPA firm, on another.

question

external environment

answer

All relevant forces outside a firm's boundaries, such as competitors, customers, the government, and the economy.

question

extinction

answer

Withdrawing or failing to provide a reinforcing consequence.

question

extrinsic rewards

answer

Rewards given to a person by the boss, the company, or some other person.

question

failure rate

answer

The number of expatriate managers of an overseas operation who come home early.

question

feedback control

answer

Control that focuses on the use of information about previous results to correct deviations from the acceptable standard.

question

feedforward control

answer

The control process used before operations begin, including policies, procedures, and rules designed to ensure that planned activities are carried out properly.

question

Fiedler's contingency model of leadership effectiveness

answer

A situational approach to leadership postulating that effectiveness depends on the personal style of the leader and the degree to which the situation gives the leader power, control, and influence over the situation.

question

final consumer

answer

Those who purchase products in their finished form.

question

flexible benefit programs

answer

Benefit programs in which employees are given credits to spend on benefits that fit their unique needs.

question

flexible factories

answer

Manufacturing plants that have short production runs, are organized around products, and use decentralized scheduling.

question

flexible processes

answer

Methods for adapting the technical core to changes in the environment.

question

force-field analysis

answer

An approach to implementing the unfreezing/moving/refreezing model by identifying the forces that prevent people from changing and those that will drive people toward change.

question

formalization

answer

The presence of rules and regulations governing how people in the organization interact.

question

framing effects

answer

A decision bias influenced by the way in which a problem or decision alternative is phrased or presented.

question

franchising

answer

An entrepreneurial alliance between a franchisor (an innovator who has created at least one successful store and wants to grow) and a franchisee (a partner who manages a new store of the same type in a new location).

question

frontline managers

answer

Lower-level managers who supervise the operational activities of the organization.

question

functional organization

answer

Departmentalization around specialized activities such as production, marketing, and human resources.

question

functional strategies

answer

Strategies implemented by each functional area of the organization to support the organization's business strategy.

question

garbage can model

answer

Model of organizational decision making depicting a chaotic process and seemingly random decisions.

question

gatekeeper

answer

A team member who keeps abreast of current developments and provides the team with relevant information.

question

genius of the and; organizational ambidexterity

answer

Ability to achieve multiple objectives simultaneously.

question

global model

answer

An organizational model consisting of a company's overseas subsidiaries and characterized by centralized decision making and tight control by the parent company over most aspects of worldwide operations; typically adopted by organizations that base their global competitive strategy on cost considerations.

question

goal displacement

answer

A condition that occurs when a decision-making group loses sight of its original goal and a new, less important goal emerges.

question

goal-setting theory

answer

A motivation theory stating that people have conscious goals that energize them and direct their thoughts and behaviors toward a particular end.

question

group maintenance behaviors

answer

Actions taken to ensure the satisfaction of group members, develop and maintain harmonious work relationships, and preserve the social stability of the group.

question

growth need strength

answer

The degree to which individuals want personal and psychological development.

question

Hersey and Blanchard's situational theory

answer

A life-cycle theory of leadership postulating that a manager should consider an employee's psychological and job maturity before deciding whether task performance or maintenance behaviors are more important.

question

high-involvement organization

answer

A type of organization in which top management ensures that there is consensus about the direction in which the business is heading.

question

horizontal communication

answer

Information shared among people on the same hierarchical level.

question

host-country nationals

answer

Natives of the country where an overseas subsidiary is located.

question

human capital

answer

The knowledge, skills, and abilities of employees that have economic value.

question

human resources management (HRM)

answer

Formal systems for the management of people within an organization.

question

hygiene factors

answer

Characteristics of the workplace, such as company policies, working conditions, pay, and supervision, that can make people dissatisfied.

question

illusion of control

answer

People's belief that they can influence events, even when they have no control over what will happen.

question

incremental model

answer

Model of organizational decision making in which major solutions arise through a series of smaller decisions.

question

independent strategies

answer

Strategies that an organization acting on its own uses to change some aspect of its current environment.

question

informing

answer

A team strategy that entails making decisions with the team and then informing outsiders of its intentions.

question

initial public offering (IPO)

answer

Sale to the public, for the first time, of federally registered and underwritten shares of stock in the company.

question

inpatriate

answer

A foreign national brought in to work at the parent company.

question

inputs

answer

Goods and services organizations take in and use to create products or services.

question

instrumentality

answer

The perceived likelihood that performance will be followed by a particular outcome.

question

integration

answer

The degree to which differentiated work units work together and coordinate their efforts.

question

integrity-based ethics programs

answer

Company mechanisms designed to instill in people a personal responsibility for ethical behavior.

question

intermediary model

answer

Charging fees to bring buyers and sellers together.

question

intermediate consumer

answer

A customer who purchases raw materials or wholesale products before selling them to final customers.

question

internal audit

answer

A periodic assessment of a company's own planning, organizing, leading, and controlling processes.

question

international model

answer

An organizational model that is composed of a company's overseas subsidiaries and characterized by greater control by the parent company over the research function and local product and marketing strategies than is the case in the multinational model.

question

interpersonal and communication skills

answer

People skills; the ability to lead, motivate, and communicate effectively with others.

question

intrapreneurs

answer

New-venture creators working inside big companies.

question

intrinsic reward

answer

Reward a worker derives directly from performing the job itself.

question

ISO 9001

answer

A series of quality standards developed by a committee working under the International Organization for Standardization to improve total quality in all businesses for the benefit of producers and consumers.

question

job enlargement

answer

Giving people additional tasks at the same time to alleviate boredom.

question

job enrichment

answer

Changing a task to make it inherently more rewarding, motivating, and satisfying.

question

job maturity

answer

The level of the employee's skills and technical knowledge relative to the task being performed.

question

job rotation

answer

Changing from one routine task to another to alleviate boredom.

question

just-in-time (JIT)

answer

A system that calls for subassemblies and components to be manufactured in very small lots and delivered to the next stage of the production process just as they are needed.

question

knowledge management

answer

Practices aimed at discovering and harnessing an organization's intellectual resources.

question

Kohlberg's model of cognitive moral development

answer

Classification of people based on their level of moral judgment.

question

labor relations

answer

The system of relations between workers and management.

question

large batch

answer

Technologies that produce goods and services in high volume.

question

lateral leadership

answer

Style in which colleagues at the same hierarchical level are invited to collaborate and facilitate joint problem solving.

question

law of effect

answer

A law formulated by Edward Thorndike in 1911 stating that behavior that is followed by positive consequences will likely be repeated.

question

Leader-Member Exchange (LMX) theory

answer

Highlights the importance of leader behaviors not just toward the group as a whole but toward individuals on a personal basis.

question

leading

answer

The management function that involves the manager's efforts to stimulate high performance by employees.

question

lean manufacturing

answer

An operation that strives to achieve the highest possible productivity and total quality, cost effectively, by eliminating unnecessary steps in the production process and continually striving for improvement.

question

learning organization

answer

An organization skilled at creating, acquiring, and transferring knowledge, and at modifying its behavior to reflect new knowledge and insights.

question

legal responsibilities

answer

To obey local, state, federal, and relevant international laws.

question

legitimacy

answer

People's judgment of a company's acceptance, appropriateness, and desirability, generally stemming from company goals and methods that are consistent with societal values.

question

Level 5 leadership

answer

A combination of strong professional will (determination) and humility that builds enduring greatness.

question

liabilities

answer

The amounts a corporation owes to various creditors.

question

life-cycle analysis (LCA)

answer

A process of analyzing all inputs and outputs, through the entire "cradle-to-grave" life of a product, to determine total environmental impact.

question

line departments

answer

Units that deal directly with the organization's primary goods and services.

question

logistics

answer

The movement of the right goods in the right amount to the right place at the right time.

question

low-cost strategy

answer

A strategy an organization uses to build competitive advantage by being efficient and offering a standard, no-frills product.

question

macroenvironment

answer

The general environment; includes governments, economic conditions, and other fundamental factors that generally affect all organizations.

question

make-or-buy decision

answer

The question an organization asks itself about whether to acquire new technology from an outside source or develop it itself.

question

management audit

answer

An evaluation of the effectiveness and efficiency of various systems within an organization.

question

management by objectives (MBO)

answer

A process in which objectives set by a subordinate and a supervisor must be reached within a given time period.

question

management myopia

answer

Focusing on short-term earnings and profits at the expense of longer-term strategic obligations.

question

management teams

answer

Teams that coordinate and provide direction to the subunits under their jurisdiction and integrate work among subunits.

question

managing diversity

answer

Managing a culturally diverse workforce by recognizing the characteristics common to specific groups of employees while dealing with such employees as individuals and supporting, nurturing, and utilizing their differences to the organization's advantage.

question

market control

answer

Control based on the use of pricing mechanisms and economic information to regulate activities within organizations.

question

mass customization

answer

The production of varied, individually customized products at the low cost of standardized, mass-produced products.

question

matrix organization

answer

An organization composed of dual reporting relationships in which some managers report to two superiors—a functional manager and a divisional manager.

question

maximizing

answer

A decision realizing the best possible outcome.

question

mechanistic organization

answer

A form of organization that seeks to maximize internal efficiency.

question

media richness

answer

The degree to which a communication channel conveys information.

question

mentors

answer

Higher-level managers who help ensure that high-potential people are introduced to top management and socialized into the norms and values of the organization.

question

middle-level managers

answer

Managers located in the middle layers of the organizational hierarchy, reporting to top-level executives.

question

mission

answer

An organization's basic purpose and scope of operations.

question

monolithic organization

answer

An organization that has a low degree of structural integration—employing few women, minorities, or other groups that differ from the majority—and thus has a highly homogeneous employee population.

question

motivators

answer

Factors that make a job more motivating, such as additional job responsibilities, opportunities for personal growth and recognition, and feelings of achievement.

question

moving

answer

Instituting the change.

question

multicultural organization

answer

An organization that values cultural diversity and seeks to utilize and encourage it.

question

multinational model

answer

An organizational model that consists of the subsidiaries in each country in which a company does business, with ultimate control exercised by the parent company.

question

needs assessment

answer

An analysis identifying the jobs, people, and departments for which training is necessary.

question

negative reinforcement

answer

Removing or withholding an undesirable consequence.

question

network organization

answer

A collection of independent, mostly single-function firms that collaborate on a good or service.

question

nonprogrammed decisions

answer

New, novel, complex decisions having no proven answers.

question

North American Free Trade Agreement (NAFTA)

answer

An economic pact that combined the economies of the United States, Canada, and Mexico into one of the world's largest trading blocs.

question

offshoring

answer

Moving work to other countries.

question

one-way communication

answer

A process in which information flows in only one direction—from the sender to the receiver, with no feedback loop.

question

open-book management

answer

Practice of sharing with employees at all levels of the organization vital information previously meant for management's eyes only.

question

open systems

answer

Organizations that are affected by, and that affect, their environment.

question

operational planning

answer

The process of identifying the specific procedures and processes required at lower levels of the organization.

question

opportunity analysis

answer

A description of the good or service, an assessment of the opportunity, an assessment of the entrepreneur, specification of activities and resources needed to translate your idea into a viable business, and your source(s) of capital.

question

optimizing

answer

Achieving the best possible balance among several goals.

question

organic structure

answer

An organizational form that emphasizes flexibility.

question

organizational behavior modification (OB mod)

answer

The application of reinforcement theory in organizational settings.

question

organization chart

answer

The reporting structure and division of labor in an organization.

question

organization development (OD)

answer

The systemwide application of behavioral science knowledge to develop, improve, and reinforce the strategies, structures, and processes that lead to organizational effectiveness.

question

outplacement

answer

The process of helping people who have been dismissed from the company regain employment elsewhere.

question

parading

answer

A team strategy that entails simultaneously emphasizing internal team building and achieving external visibility.

question

parallel teams

answer

Teams that operate separately from the regular work structure, and exist temporarily.

question

participation in decision making

answer

Leader behaviors that managers perform in involving their employees in making decisions.

question

path-goal theory

answer

A theory that concerns how leaders influence subordinates' perceptions of their work goals and the paths they follow toward attainment of those goals.

question

perception

answer

The process of receiving and interpreting information.

question

performance appraisal (PA)

answer

Assessment of an employee's job performance.

question

performance gap

answer

The difference between actual performance and desired performance.

question

philanthropic responsibilities

answer

Additional behaviors and activities that society finds desirable and that the values of the business support.

question

pluralistic organization

answer

An organization that has a relatively diverse employee population and makes an effort to involve employees from different gender, racial, or cultural backgrounds.

question

power

answer

The ability to influence others.

question

principle of exception

answer

A managerial principle stating that control is enhanced by concentrating on the exceptions to or significant deviations from the expected result or standard.

question

proactive change

answer

A response that is initiated before a performance gap has occurred.

question

probing

answer

A team strategy that requires team members to interact frequently with outsiders, diagnose their needs, and experiment with solutions.

question

procedural justice

answer

Using fair process in decision making and making sure others know that the process was as fair as possible.

question

product champion

answer

A person who promotes a new technology throughout the organization in an effort to obtain acceptance of and support for it.

question

profit and loss statement

answer

An itemized financial statement of the income and expenses of a company's operations.

question

programmed decisions

answer

Decisions encountered and made before, having objectively correct answers, and solvable by using simple rules, policies, or numerical computations.

question

project and development teams

answer

Teams that work on long-term projects but disband once the work is completed.

question

prospectors

answer

Companies that continuously change the boundaries for their task environments by seeking new products and markets, diversifying and merging, or acquiring new enterprises.

question

pseudotransformational leaders

answer

Leaders who talk about positive change but allow their self-interest to take precedence over followers' needs.

question

psychological contract

answer

A set of perceptions of what employees owe their employers, and what their employers owe them.

question

psychological maturity

answer

An employee's self-confidence and self-respect.

question

quality circles

answer

Voluntary groups of people drawn from various production teams who make suggestions about quality.

question

quality of work life (QWL) programs

answer

Programs designed to create a workplace that enhances employee well-being.

question

reactive change

answer

A response that occurs under pressure; problem-driven change.

question

ready-made solutions

answer

Ideas that have been seen or tried before.

question

recruitment

answer

The development of a pool of applicants for jobs in an organization.

question

reflection

answer

Process by which a person states what he or she believes the other person is saying.

question

refreezing

answer

Strengthening the new behaviors that support the change.

question

relationship-motivated leadership

answer

Leadership that places primary emphasis on maintaining good interpersonal relationships.

question

relativism

answer

Philosophy that bases ethical behavior on the opinions and behaviors of relevant other people.

question

reliability

answer

The consistency of test scores over time and across alternative measurements.

question

resources

answer

Inputs to a system that can enhance performance.

question

return on investment (ROI)

answer

A ratio of profit to capital used, or a rate of return from capital.

question

rightsizing

answer

A successful effort to achieve an appropriate size at which the company performs most effectively.

question

risk

answer

The state that exists when the probability of success is less than 100 percent and losses may occur.

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Sarbanes-Oxley Act

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An act passed into law by Congress in 2002 to establish strict accounting and reporting rules in order to make senior managers more accountable and to improve and maintain investor confidence.

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satisficing

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Choosing an option that is acceptable, although not necessarily the best or perfect.

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self-designing teams

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Teams with the responsibilities of autonomous work groups, plus control over hiring, firing, and deciding what tasks members perform.

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semiautonomous work groups

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Groups that make decisions about managing and carrying out major production activities but get outside support for quality control and maintenance.

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servant-leader

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A leader who serves others' needs while strengthening the organization.

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shapers

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Companies that try to change the structure of their industries, creating a future competitive landscape of their own design.

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shared leadership

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Rotating leadership, in which people rotate through the leadership role based on which person has the most relevant skills at a particular time.

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simultaneous engineering

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A design approach in which all relevant functions cooperate jointly and continually in a maximum effort aimed at producing high-quality products that meet customers' needs.

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situational analysis

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A process planners use, within time and resource constraints, to gather, interpret, and summarize all information relevant to the planning issue under consideration.

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situational approach

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Leadership perspective proposing that universally important traits and behaviors do not exist, and that effective leadership behavior varies from situation to situation.

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skunkworks

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A project team designated to produce a new, innovative product.

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small batch

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Technologies that produce goods and services in low volume.

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small business

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A business having fewer than 100 employees, independently owned and operated, not dominant in its field, and not characterized by many innovative practices.

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smoothing

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Leveling normal fluctuations at the boundaries of the environment.

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social capital

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Goodwill stemming from your social relationships; a competitive advantage in the form of relationships with other people and the image other people have of you.

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social facilitation effect

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Working harder when in a group than when working alone.

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sociotechnical systems

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An approach to job design that attempts to redesign tasks to optimize operation of a new technology while preserving employees' interpersonal relationships and other human aspects of the work.

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span of control

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The number of subordinates who report directly to an executive or supervisor.

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specialization

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A process in which different individuals and units perform different tasks.

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staff departments

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Units that support line departments.

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stakeholders

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Groups and individuals who affect and are affected by the achievement of the organization's mission, goals, and strategies.

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standardization

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Establishing common routines and procedures that apply uniformly to everyone.

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stockholders' equity

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The amount accruing to the corporation's owners.

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strategic alliance

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A formal relationship created among independent organizations with the purpose of joint pursuit of mutual goals.

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strategic control system

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A system designed to support managers in evaluating the organization's progress regarding its strategy and, when discrepancies exist, taking corrective action.

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strategic leadership

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Behavior that gives purpose and meaning to organizations, envisioning and creating a positive future.

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strategic management

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A process that involves managers from all parts of the organization in the formulation and implementation of strategic goals and strategies.

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strategic maneuvering

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An organization's conscious efforts to change the boundaries of its task environment.

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strategic planning

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A set of procedures for making decisions about the organization's long-term goals and strategies.

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strategic vision

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The long-term direction and strategic intent of a company.

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stretch goals

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Targets that are particularly demanding, sometimes even thought to be impossible.

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structured interview

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Selection technique that involves asking all applicants the same questions and comparing their responses to a standardized set of answers.

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subscription model

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Charging fees for site visits.

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substitutes for leadership

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Factors in the workplace that can exert the same influence on employees as leaders would provide.

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subunits

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Subdivisions of an organization.

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superordinate goals

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Higher-level goals taking priority over specific individual or group goals.

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supervisory leadership

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Behavior that provides guidance, support, and corrective feedback for day-to-day activities.

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supply chain management

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The managing of the network of facilities and people that obtain materials from outside the organization, transform them into products, and distribute them to customers.

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survivor's syndrome

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Loss of productivity and morale in employees who remain after a downsizing.

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switching costs

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Fixed costs buyers face when they change suppliers.

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SWOT analysis

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A comparison of Strengths, Weaknesses, Opportunities, and Threats that helps executives formulate strategy.

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360-degree appraisal

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Process of using multiple sources of appraisal to gain a comprehensive perspective on one's performance.

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tactical planning

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A set of procedures for translating broad strategic goals and plans into specific goals and plans that are relevant to a distinct portion of the organization, such as a functional area like marketing.

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task performance behaviors

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Actions taken to ensure that the work group or organization reaches its goals.

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task specialist

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An individual who has more advanced job-related skills and abilities than other group members possess.

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team maintenance specialist

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Individual who develops and maintains team harmony.

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team training

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Training that provides employees with the skills and perspectives they need to collaborate with others.

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technical innovator

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A person who develops a new technology or has the key skills to install and operate the technology.

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technical skill

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The ability to perform a specialized task involving a particular method or process.

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technology audit

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Process of clarifying the key technologies on which an organization depends.

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technology life cycle

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A predictable pattern followed by a technological innovation, from its inception and development to market saturation and replacement.

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termination interview

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A discussion between a manager and an employee about the employee's dismissal.

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third-country nationals

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Natives of a country other than the home country or the host country of an overseas subsidiary.

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time-based competition (TBC)

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Strategies aimed at reducing the total time needed to deliver a good or service.

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top-level managers

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Senior executives responsible for the overall management and effectiveness of the organization.

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total organization change

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Introducing and sustaining multiple policies, practices, and procedures across multiple units and levels.

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total quality management (TQM)

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An integrative approach to management that supports the attainment of customer satisfaction through a wide variety of tools and techniques that result in high-quality goods and services.

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traditional work groups

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Groups that have no managerial responsibilities.

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trait approach

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A leadership perspective that attempts to determine the personal characteristics that great leaders share.

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transactional leaders

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Leaders who manage through transactions, using their legitimate, reward, and coercive powers to give commands and exchange rewards for services rendered.

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transcendent education

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An education with five higher goals that balance self-interest with responsibility to others.

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transfer price

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Price charged by one unit for a good or service provided to another unit within the organization.

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transformational leader

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A leader who motivates people to transcend their personal interests for the good of the group.

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transnational model

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An organizational model characterized by centralizing certain functions in locations that best achieve cost economies; basing other functions in the company's national subsidiaries to facilitate greater local responsiveness; and fostering communication among subsidiaries to permit transfer of technological expertise and skills.

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transnational teams

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Work groups composed of multinational members whose activities span multiple countries.

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two-factor theory

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Herzberg's theory describing two factors affecting people's work motivation and satisfaction.

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two-way communication

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A process in which information flows in two directions— the receiver provides feedback, and the sender is receptive to the feedback.

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tyranny of the or

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The belief that things must be either A or B and cannot be both; that only one goal and not another can be attained.

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unfreezing

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Realizing that current practices are inappropriate and that new behavior is necessary.

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union shop

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An organization with a union and a union security clause specifying that workers must join the union after a set period of time.

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unity-of-command principle

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A structure in which each worker reports to one boss, who in turn reports to one boss.

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universalism

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The ethical system stating that all people should uphold certain values that society needs to function.

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valence

answer

The value an outcome holds for the person contemplating it.

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validity

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The degree to which a selection test predicts or correlates with job performance.

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value

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The monetary amount associated with how well a job, task, good, or service meets users' needs.

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value chain

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The sequence of activities that flow from raw materials to the delivery of a good or service, with additional value created at each step.

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vertical integration

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The acquisition or development of new businesses that produce parts or components of the organization's product.

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virtue ethics

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Perspective that what is moral comes from what a mature person with "good" moral character would deem right.

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Vroom model

answer

A situational model that focuses on the participative dimension of leadership.

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