Page 515 - Fundamentals of Management Myths Debunked (2017)_Flat

514 Glossary
Corporate strategy An organizational strategy Efficiency Doing things right, or getting the Expectancy theory The theory that an indi-
that specifies what businesses a company is in most output from the least amount of inputs vidual tends to act in a certain way based on
or wants to be in and what it wants to do with Electronic meeting A type of nominal group the expectation that the act will be followed by
those businesses technique in which participants are linked by a given outcome and on the attractiveness of
Cost leadership strategy When an organization computer that outcome to the individual
competes on the basis of having the lowest Emotional intelligence (EI) The ability to Exporting Making products domestically and
costs in its industry notice and to manage emotional cues and selling them abroad
Creativity The ability to produce novel and information External environment Factors, forces, situa-
useful ideas Employee assistance programs (EAPs) Pro- tions, and events outside the organization that
Credibility The degree to which followers grams offered by organizations to help affect its performance
perceive someone as honest, competent, and employees overcome personal and health-
able to inspire related problems
Critical path The longest or most time- Employee benefits Membership-based rewards F
consuming sequence of events and activities designed to enrich employees’ lives Family-friendly benefits Benefits that provide
required to complete a project in the shortest Employee counseling A process designed to a wide range of scheduling options and allow
amount of time help employees overcome performance-related employees more flexibility at work, accom-
Cross-functional team A work team composed problems modating their needs for work-life balance
of individuals from various specialties Employee engagement When employees are Feedback Checking to see how successfully a
Customer departmentalization Grouping connected to, satisfied with, and enthusiastic message has been transferred
activities by customer about their jobs Feedback control Control that takes place after
Employee productivity A performance mea- a work activity is done
D sure of both work efficiency and effectiveness Feedforward control Control that takes place
before a work activity is done
Decentralization The degree to which lower- Employee recognition programs Programs that Fiedler contingency model Leadership theory
consist of personal attention and expressions
level managers provide input or actually make of interest, approval, and appreciation for a job proposing that effective group performance
decisions well done depends on the proper match between a lead-
Decisional roles Entailing making decisions or Employee theft Any unauthorized taking of er’s style and the degree to which the situation
choices company property by employees for their allowed the leader to control and influence
Decision criteria Factors that are relevant in a personal use Filtering Deliberately manipulating informa-
decision Employee training A learning experience tion to make it appear more favorable to the
Decision implementation Putting a decision that seeks a relatively permanent change receiver
into action in employees by improving their ability to First-line managers Supervisors responsible
Decision-making process A set of eight steps perform on the job for directing the day-to-day activities of non-
that includes identifying a problem, selecting Employment planning The process by which managerial employees
a solution, and evaluating the effectiveness of managers ensure they have the right numbers Fixed-point reordering system A method for a
the solution and kinds of people in the right places at the system to “flag” the need to reorder inventory
Decision trees A diagram used to analyze a right time at some preestablished point in the process
progression of decisions. When diagrammed, Empowerment The act of increasing the Flextime (also known as flexible work
a decision tree looks like a tree with branches. decision-making discretion of workers hours) A work scheduling system in which
Decoding Translating a received message Encoding Converting a message into employees are required to work a specific
Demographics The characteristics of a symbolic form number of hours per week but can vary when
population used for purposes of social studies Entrepreneurial ventures Organizations that they work those hours within certain limits
Departmentalization How jobs are grouped pursue opportunities, are characterized by Focus strategy When an organization competes
together innovative practices, and have growth and in a narrow segment or niche with either a cost
Design thinking Approaching management profitability as their main goals focus or a differentiation focus
problems as designers approach design Entrepreneurship The process of starting Foreign subsidiary A direct investment in a
problems new businesses, generally in response to foreign country that involves setting up a sepa-
Differentiation strategy When an organization opportunities rate and independent facility or office
competes on the basis of having unique Environmental complexity The number of Formal planning department A group of plan-
products that are widely valued by customers components in an organization’s environment ning specialists whose sole responsibility is to
Directional plans Plans that are flexible and set and the extent of knowledge that the organiza- help write the various organizational plans
general guidelines tion has about those components Formalization How standardized an orga-
Discipline Actions taken by a manager to Environmental scanning An analysis of the nization’s jobs are and the extent to which
enforce an organization’s standards and external environment, which involves screen- employee behavior is guided by rules and
regulations ing large amounts of information to detect procedures
Distributive justice Perceived fairness of the emerging trends Forming stage The first stage of group develop-
amount and allocation of rewards among Environmental uncertainty The degree of ment in which people join the group and then
individuals change and complexity in an organization’s define the group’s purpose, structure, and
Divisional structure An organizational environment leadership
structure made up of separate business units Equity theory The theory that an employee Franchising An agreement in which an
or divisions compares his or her job’s input-to-outcome organization gives another organization the
Division of labor (or job specialization) The ratio with that of relevant others and then cor- right, for a fee, to use its name and operating
breakdown of jobs into narrow repetitive rects any inequity methods
tasks Escalation of commitment An increased Functional departmentalization Grouping
Downsizing The planned elimination of jobs in commitment to a previous decision despite activities by functions performed
an organization evidence that it may have been a poor decision Functional strategy Strategy used in an orga-
E Ethical communication Presented material that nization’s various functional departments to
support the competitive strategy
contains all relevant information, is true in
Economic order quantity (EOQ) A model that every sense, and is not deceptive in any way Functional structure An organizational design
seeks to balance the costs involved in ordering Ethics A set of rules or principles that defines that groups similar or related occupational
and carrying inventory, thus minimizing right and wrong conduct specialties together
total costs associated with carrying and Ethnicity Social traits, such as one’s cultural Fundamental attribution error The tendency
ordering costs background or allegiance, that are shared by a to underestimate the influence of external
Effectiveness Doing the right things, or human population f actors and overestimate the influence of
completing activities so that organizational Events End points that represent the completion internal factors when making judgments
goals are attained of major activities about the behavior of others