MGMT 371 1nd EditionExam # 1 Study Guide Lectures: 1 - 10Lecture 1 (January 13)No material was covered. Lecture 2 (January 15) How are the four mechanisms of management used in business?Management is defined as the attainment of organizational goals in an effecting and efficient manner through planning, organizing, leading, and controlling. Planning involves defining goals, deciding on tasks and resources needed. Organizing involves assigning tasks and allocating resources. Leading involves using one’s influence to motivate and achieve goals. Controlling involving monitoring activities and making corrections when they are necessary. How do you define and measure organizational performance?An organization is a social entity with two or more people that is designed to achieve an outcome and is deliberately structured to achieve tasks and divide responsibility. Organizational performance is effective if the organization achieves its stated goal or succeeds in what it tries to do. Efficiency of an organization is measured by how the organization uses its decreasing resources to produce an increasing output. Define the three management skills.Conceptual skills are the ability to see the organization as a whole and to see the relationship of its parts. Human skills are interpersonal skills including the ability to work with and through others and to work effectively in a group. Technical skills include the understanding specific tasks and having a level of proficiency in performing those tasks. What are the manager’s roles?The manager has an informational role in which he or she monitors and spread information in addition to being a spokesperson. The interpersonal skills include being a figurehead, leader,and liaison. The manager has a decisional role in which he or she is an entrepreneur, negotiator and a resource allocator. Define the three major management perspectives.The Classical Perspective uses rational scientific approach to studying management and seeks to make organizations efficient operating machines. The three subfields of the Classical Perspective include Scientific Management, Bureaucratic Organizations, and Administrative Principles. Scientific Management looks to improve efficiency and labor productivity. Bureaucratic Organizations have formal, separate management and they focus on clear authority and separation of responsibility. Administrative Principles focus on the total organization as opposed to focusing on individuals. The Humanistic Perspective focuses on understanding behavior, needs, and attitudes. The three subfields of the Humanistic Perspective include the Human Relations Movement, Human Resources Perspective, and the Behavioral Sciences Approach. The Human Relations Movement focuses on satisfying human needs to lead to increased productivity. The Human Resources Perspective believes that higher jobs and needs let employees use their full potential.The Behavioral Sciences Approach applies social science like sociology, psychology, and anthropology to the organization in order to understand human behavior and interactions. The management Science Perspective applies math, statistics, and quantitative techniques to management problems. The three subfields of the Management Science Perspective are Operations Research, Operations Management, and Informational Technology. Operations Research focuses on using mathematical models and quantitative techniques. Operations Management focuses on solving manufacturing problems using forecasts, inventory models, linear/non-linear relationships, ect. Information Technology focuses on providing information in a timely and cost effective manner. What are the recent management trends?The Systems Theory focuses on open systems characterized by entropy (randomness), synergy (interaction or cooperation), and interdependence. The five components of the SystemsTheory are inputs, transformation processes, outputs, feedback, and environment. The Contingency View believes that problem resolution depends on identifying key variations in current situations. Total Quality Management focuses on the customer, continuous improvement, employee involvement, and total organization management to deliver quality products or services.Lecture 3 (January 20)Define corporate culture and how it affects business.Corporate culture is a set of key values, beliefs, understanding, and norms that members of an organization share. The levels of corporate culture include the surface level (visible artifacts such as dress, symbols, and ceremonies), the deeper level (expressed values and beliefs), and the deepest level (underlying assumptions and beliefs). It cannot be changed easily, and a person learns and adapts to it through experience.What are the four types of corporate cultures?The four types of corporate culture are adaptability, achievement, involvement, and consistency. Adaptability cultures support the ability to interpret and translate signals into new behavior responses. Achievement cultures are results orientated, values competitiveness, personal initiative, and achievement. Involvement cultures value meeting the needs of their employees, cooperation, and equality. Consistency cultures value methodological, rational, and orderly performance. Lecture 4 (January 22)Key Terms of Globalization:Exporting: manufacturing domestically then selling internationally Global Outsourcing: making things in other countries because it’s cheaperLicensing: getting permission to sell a productFranchising: owning a store of a large brand -> there are rules about what you can sellJoint Ventures: 2 companies work togetherAcquisition: when one company buys another (EX. Wells Fargo bought Wachovia)Greenfield Venture: a company partners with a country to use/develop their resources in returnthe company builds infrastructure in the developing countryDescribe the three international environmental factors.The economic environment of a nation includes economic development, infrastructure in developing countries, resource and product markets, per capita income, exchange rates, and economic conditions. Managers must evaluate the risk of a foreign economic environment before venturing into international business. The sociocultural environment includes social values, beliefs, language, religion, kinship patters, formal education and literacy levels, and time orientation. A manager must understand the sociocultural environment in order to properly manage and respect