Chapter 6: Managing the Business Enterprise Flashcards
Management levels
Top managers, middle managers, first-line managers, non-managerial workers
4 categorizations of products and services
People vs possessions + tangible vs intangible actions
4 functions of management
Planning, leading, organizing, controlling
Planning
what business needs and best way to achieve it:
strategic plans, tactical plans, operational plans
organizing
how to use existing resources to implement plan
leading
guiding and motivating subordinates to meet objectives
What responsibilities do managers have regarding employees
authority to give orders, ability to guide employees, power to motivate subordinates
controlling
monitor the firm’s performance
2 types of management skills
technical, human relations, conceptual
top managers need more conceptual than technical and first-line managers need more technical than conceptual
mission statement
how the organization will achieve its purpose/ clarifies who the organization serves, what if offers, and how it will be provided/ may also include core values and ethical commitments
Types of plans
strategic (long-term plans - 2-5 years), tactical plans (1-2 years), operational plans (short-term usually monthly, weekly or daily)
level of strategies
corporate-level (what businesses to pursue), business-level (how to compete in chosen area), functional (department level)
corporate-level strategies
concentration, growth, integration, diversification, investment reduction
business-level (competitive) strategies
cost leadership, differentiation, focus
