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Flashcards in B&M Case Study Deck (116):
0

Upskilling

increasing the skills of certain employees or a company's labour force as a whole

1

Diversify

A company produces a new good or service, buys up another company, or produces in a new market in order to spread risk and loosen dependence

2

market opportunity

an opportunity that a company can legally exploit in order to increase sales

3

internal recruitment

recruiting personell to posts from within the company

4

Staff retention rate

The percentage of staff who remain employed by a business over a given time period, usually one year. It is calculated by deducting the number of leavers from the total number of employees in a year, expressed as a percentage of the workforce that has remained within the business

5

external recruitment

filling vacant posts with applicants rom outside company

6

social

refers to changing demographics, e.g. population gerowth, lifesytels and cultural values

7

political

refers to government behaviour, tax changes, privatization or nationalization

8

economic

refers to peoples income, unemployment, inflation and economic growth

9

market trends

the direction in which a market goes in

10

strategic alliance

a collaborative agreement between two or more firms to pursue a set of agreed goals

11

market trends

Changing demands for goods and services within a market

12

workforce planning

establishing the number and skills of the workforce required by the business in the future

13

fixed cost

the costs a business has to pay for its fixed assets and that do not vary with the level of output in the short run

14

high growth potential

a product or market etc. that is very likely to experience an increase in sales in the future

15

Demand

The willingness and ability of customers to buy a certain product at a certain price

16

Target market

The market segment that a particular product is aimed at

17

Strategic plan

Medium to long-term plans on ways of achieving specific objectives (goals, targets and corporate objectives)

19

Workforce

The people employed by a business

20

Vision

Where the business aspires to be in the future; the long term aims of a business

20

Relaunch

Extension strategy when a product has reached the decline phase of its product life cycle

21

Market research

The process of collecting, recording and analysing data about customers, competitors and the market

22

Product life cycle

Different stages that a product passes through during its lifetime

23

Brand name

A brand name is a name given to a firm's products, which usually represents the image of the business

24

Investment

Shares held in other businesses are called investments on the balance sheets. Investments could also be medium to Long-term financial assets that a business might hold which generate short-term income for the business such as dividend or interest

25

Product life cycle phases

The phases are: R&D, introduction, growth, maturity, saturation, decline

26

Decline phase

The final stage of a product life cycle where sales decline

28

Reposition

The change in perception of a business so it can achieve its objectives (e.g: change in brand image)

28

Strategic decisions

Decisions that set the future direction of a firm

29

Strategic decisions

Decisions in order to achieve the firms objective that set the future direction of a firm and are part of a business' long term plan

30

Responsibility

With authority comes responsibility which means to be accountable for what one does

31

Employee representatives

An organisation of working people with the objective of improving the pay and working conditions and provide the mebers with support and legal services

32

Collective action

The negotiations between employees' representatives and employers and their representatives on issues of common interest (pay, working conditions)

33

Conflict

Any kind of disagreement between two stakeholders

34

Sense of solidarity

If a group of people with common interests come together to support one another

35

Industrial action

Measures taken by the workforce or trade union to put pressure on management to settle an industrial dispute in favour of employees

36

Negotiations

A bargaining process between two or more parties to resolve a conflict

38

Target profits

A target of a profit to be achieved within one year to satisfy the shareholders.

38

Absenteeism

When an employee is off work, e.g. because of illness

39

Strike

An extreme form of industrial action in which employees totally withdraw their labour for a period of time

40

Training

Work-related education to increase workfore skills and efficiency

41

Benchmarking

Comparing the performance -including quality- of a business with performance standards throughout the industry

42

International standards

Certain quality standards to assure customers of the quality

43

High quality

If a product is of superior quality to other goods and therefore usually priced higher

45

Dismissal

When an employee is removed or "sacked" from a job due to incompetence or breach of discipline

45

Informal communication

Unofficial channels of communication that exist between informal groups within an organisation

46

Appraisal

Assessing and judging an employees performance and effectiveness through observation and interview

48

Autocratic

A leadership style that keeps all decision making at the center of the organisation and is very task-oriented. (No delegation or empowerment)

49

Laissez-faire style

A leadership style that leaves much of the decision making to the workforce (hands-off approach) so that the leader only makes the major decisions and set the overall objectives

49

Scientific decision making approach

A decision is made based on research and quantitative data

50

Empowerment

Employees are delegated authority to carry out a task and empowered to do some decision making about it

51

Bureaucracy

An organisation with a rigid organisational strucutre, many levels of authority and standardized procedures and rules

52

Delegation

Passing authority down the organisational structure to (now accountable subordinates). The ultimate responsibility remains with the line manager

53

Chain of command

The formal line of authority through which orders are passed in an organisation as presented in an organisational chart

54

Leadership style

The way a person adopty to motivate a group of people towards achieving a common objective

55

Task-oriented

A leadership style with the focus on completing the task without considering the needs of the team completing the task with strict systems and procedures and no encourage for creativity

57

Competitive position

The position of a company in a market relative to its competitors. ==> Porter's Five Forces Analysis

58

Discrimination

Unfair or unjust treatment of other because of gender, race, age etc. Most countries have law against this

59

Non-profit organisation

Organisation that reinvests all its profits and has other goals than profit (usually to benefit the society)

59

Balance sheet

A financial statement of a business that links all the assets, debts and investments as of a specific date together

60

Motivation

The extrinstic and instrinstic factors that stimulate people to take actions that lead to achieving a goal

61

Human resources

1. The employees of an organisation

2. A department that looks after all the internal requirements of company's labour force (recruitment, training, promotion and dismissal)

62

Final accounts

Made up of PLA, balance sheet and cash flow statement and used by mangement and other stakeholders

63

Accountability

The obligation of an individual or organisation to account for its activities and to disclose results in a transparent way

64

Profit and loss accounts

(income statement:) records the revenue, cost and profit (or loss) of a business over a given time period that is found in a business final account

66

Profit centers

A department or a unit of a business that incurs both costs and revenues and hence maintains its own profit and loss account. It allows a business to identify the areas that generate the most and those that generate the least revenue

67

Working capital

The capital needed for raw materials, day-to-day running cost and credit offered to customers; working capital = current assets - current liabilities

67

Secondary market data

Existing published information about a market that a company can use for its own market researchr

68

Position map

A visual aid used to show customers perceptions about the product or brand in relation to others in the market, against variables such a price and quality

69

Market share

The percentage of all sales in an industry that a company holds

70

Marketing audit

A systematic examination and review of the current position of a firm's marketing in terms of its strengths and weknesses as well as where a firm stands in its relationship with customers and competitors

71

Performance related pay

The payment of employees is adjusted to their performance and how they met set targets

72

Budget

A detailed financial plan for the future including a cash flow forecast

73

Salary

Fixed regular payments by an organisation to an employee in exchange for his work

74

Employees

A worker that works for a company and gets a salary in return

75

Liquidity problems

If a company is unable to pay its short term debts e.g. due to overtrading, external changes or overborrowing

76

Recruiting

The process of investigating the need for a new employee, defining the job that needs to be filled and the person needed to fill it, attracting suitable candidates and selecting the best one

77

Promotion

The advancement of an employee in the company hierarchy leading to improved status, more responsibility and possibly increased salary

78

Retired

When a person has passed a poinbt at which he stops employment completely, e.g. when out of working age

79

Multicultural society

A society with different ethnic or cultural groups

81

Margin of safety

The difference between a firms actual level of output and the break-even level of output

81

Profits

The positive difference between a firms total sales revenue and total cost of production

82

Dividends

The share of the net profits that a company distributes to shareholders

83

Operations

Concerned with the design of products and the management of processes and supply chains
==> The acquisition, development and utilisation of the required resources

84

Manager

A person that is responsible for running a business or part of it

85

Hands off

No day-to-day involvement by shareholders in the running of a company

86

Shareholder

People or organisations that own a share of a private or public limited company and get dividens as a return for their investment

87

Subsidiary

A company that is owned by more than 50% by another business

88

Globalisation

The trend towards free international trade and free movement of capital between countries resulting in the closer integration of the goods, services, capital and knowledge of the world's economies

89

Private limited company

A company that can hold and sell shares to a certain group of people, has limited liability for its owners and a separate legal identity

90

Investor

People or organisations that contribute funds to an organisation in return for shares of the company

91

Corporate image

The way in which a firm is viewed by its customers and other stakeholders

92

Sole trader

A private profit-making organisation with unlimited liability that is owned by one person but may employ others

93

Liquidity management

The effective management of a firms cash flow in order for the firm to pay its short debts

94

Cash flow management

The effective management of a company's cash in- and outflows / of the firms working capital

95

Primary sector

First stage of production concerned with agriculture or extraction of raw materials

96

Break even quantity

The level of output where the total revenue is equal to the total cost

97

Renovations

Large scale changes or redecorations to enhance a buildings or structures overall image

98

Needs

Refers to Maslow's hierachy of needs: physical needs, safety needs, social needs, esteem needs, self-actualisation

99

Marketing challenge

Challenges arising from changes in the tarket market or from the emergence of new competitors leading to issues of market share or product perceptions

100

Short-term

The period of time were all factors of production except land are variable and were all production takes place

101

Long-term

The period of time were all factors of production are variable and were all the planning takes place

102

Stock

(Inventories:) Physical materials and goods that a business holds for further production or sale. They appear as current assets on the balance sheet.

103

Closing stock values

Refers to methods used by a business to place a value on stocks. (LIFO or FIFO) Stock valuation is influenced by date and cost of purchase

104

Selection

When an employee is chosen from a pool of candidates, during the recruitment process, for a position within an organisation

105

Change management

Planning, implementing, controlling and reviewing the movement of an organisation from its current state to a new one

106

Marketing

The management that links the business to its customers by identifying and meeting the needs of customers profitably - it includes product, price, promotion, place, packaging, physical environment, process and people

107

Customer

An individual or organisation which purchases a good or service from a business

108

Product

The output of a production process: a good or service. In the case of The Imperial it is the hotel itself and the offered services

109

Seasonal fluctuations

Seasonal fluctuations in sales revenue occur when the income derived from sales varies throughout the year

110

Fixed cost of The Imperial

e.g.: Advertising, insurance, management and loan repayments

111

Variable cost of The Imperial

e.g: Electricity, cleaning materials, food and gas

112

Networks

An interconnected system of individuals and businesses through which communication occurs and ideas are exchanged

113

Cost center

A department or unit of a business which doest not generate any revenue yet to which specific cost can be clearly attributed and allocated. It is used as a control tool to make different departments conscious of their costs and to encourage them to operate within their budgets

114

Financial performance

Refers to how well a business is performing financially as reflected in its Balance Sheet, PLA and ration analysis

115

Strategy

The direction and scope of an organization over the long term: which achieves advantage for the organisation through its configuration of resources within a challening environment, to meet the needs of the market and to fulfil stakeholder expectations