Chapter 12 Flashcards
(13 cards)
Transformational leaders inspire exceptional performance through:
- visioning
- inspiring
- stimulating
- coaching
- team-building
The organizing function deals with these questions:
- what tasks are to be done?
- who does them?
- who reports to whom?
2 broad types of organizational structures are:
- mechanistic
- organic
Your small business will need an organic business structure because the new business environment demands:
- innovation
- pro activity
- risk taking
Mechanistic structure consists of:
- highly structured channels of communication
- uniform and restricted operating styles
- decision making based on management authority
- reluctant adaptation
- emphasis on formal procedures
- tight control systems
- constrained on the job behaviour
- superiors making decisions
Organic structure consists of:
- open channels of communication
- operating styles allowed to vary freely
- decision making authority based on expertise
- free adaptation to changing circumstances
- emphasis on getting things done
- loose, informal control with emphasis on cooperation
- flexible on the job behaviour
- participation and group consensus
Benefits of a virtual or network organization:
- customer-driven
- flexible
- relies on mutual trust and teamwork
- promotes supplier competition
- delegates selling duties to selling agents, not staff
- offers a web of associates or partners
- relies on outside expertise
3 areas you should focus on when making the founding team are:
- management team profiles and ownership structure
- board of directors or advisory board
- Human Resources requirements
Merits of the just-in-time team include:
- Partnerships (joint ventures, strategic alliances)
- The independent contractor or associate (Alberta Employment Standards)
- Employee leasing
For independent business, mentoring is…
A mutually beneficial partnership between a more experienced entrepreneur or businessperson and an entrepreneur who is in the start-up phase
Qualities of an effective small business mentor:
- a desire to help
- positive past experience
- a good business reputation
- time and energy to help
- up-to-date knowledge in the field
- a learning attitude
- demonstrated managerial and mentoring skills
When you hire, you will have to consider:
- job analysis and requirements (long term vs short term, repetitive tasks vs one job, employee vs contractor)
- qualifications
- staffing decisions (type of hiree, recruitment and selection, training/development, compensation)
An employee can cost an extra 60% of his or her salary. How?
- recruitment (ad placement, admin time)
- training, evaluation, retention (management time)
- operations (space, furniture, and equipment)
- admin (indirect compensation)