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Foundations of Management
Robert Kreitner, Arizona State University
Glossary


360-degree review pooled, anonymous evaluation by ones boss, peers, and subordinates.

80/20 principle a minority of causes, inputs, or effort tends to produce a majority of results, outputs, or rewards.

accommodative social responsibility strategy assuming additional responsibilities in response to pressure.

advocacy advertising promoting a point of view along with a product or service.

affirmative action program (AAP) making up for past discrimination by actively seeking and employing minorities.

alternative dispute resolution avoiding courtroom battles by settling disputes with less costly methods, including arbitration and mediation.

altruism unselfish devotion to the interests of others.

amoral managers managers who are neither moral nor immoral, but ethically lazy.

anticipatory changes planned changes based on expected situations.

authority the right to direct the actions of others.

behaviorally anchored rating scales (BARS) performance appraisal scales with notations about observable behavior.

behavior-based interview  detailed questions about specific behavior in past job-related situations.

benchmarking identifying, studying, and building upon the best practices of organizational role models.

body language nonverbal communication based on facial expressions, posture, and appearance.

cafeteria compensation plan that allows employees to select their own mix of benefits.

capability profile identifying the organizations strengths and weaknesses.

causes variables responsible for the difference between actual and desired conditions.

centralization the retention of decision-making authority by top management.

closed system a self-sufficient entity.

cluster organization collaborative structure in which teams are the primary unit.

coercive power gaining compliance through threats or punishment.

cohesiveness the tendency of a group to stick together.

collectivist cultures cultures that emphasize duty and loyalty to collective goals and achievements.

communication interpersonal transfer of information and understanding.

comparative management the study of how organizational behavior and management practices differ across cultures.

concurrent control monitoring and adjusting ongoing activities and processes.

concurrent engineering team approach to product design involving specialists from all functional areas including research, production, and marketing.

conflict incompatible behaviors that make another person less effective.

conflict trigger any factor that increases the chances of conflict.

contingency approach research effort to determine which managerial practices and techniques are appropriate in specific situations.

contingency design fitting the organization to its environment.

control taking preventive or corrective actions to keep things on track.

control chart visual aid showing acceptable and unacceptable variations from the norm for repetitive operations.

corporate philanthropy charitable donation of company resources.

corporate social responsibility the idea that business has social obligations above and beyond making a profit.

creativity the reorganization of experience into new configurations.

critical path most time-consuming route through a PERT network.

cross-cultural training guided experience that helps people live and work in foreign cultures.

cross-functional team task group staffed with a mix of specialists pursuing a common objective.

culture a populations taken-for-granted assumptions, values, beliefs, and symbols, which foster patterned behavior.

culture shock negative feelings triggered by an expectations-reality mismatch.

customer-centered satisfying the customers needs by anticipating, listening, and responding.

decentralization management shares decision-making authority with lower-level employees.

decision making identifying and choosing alternative courses of action.

decision rule tells when and how programmed decisions should be made.

defensive social responsibility strategy resisting additional responsibilities with legal and public relations tactics.

delegation assigning various degrees of decision-making authority to lower-level employees.

Deming management application of W. Edwards Demings ideas for more responsive, more democratic, and less wasteful organizations.

demographics statistical profiles of population changes.

departmentalization grouping related jobs or processes into major organizational subunits.

differentiation buyer perceives unique and superior value in a product.

e-business a business using the Internet for greater efficiency in every aspect of its operations.

effectiveness a central element in the process of management that entails achieving a stated organizational objective.

efficiency a central element in the process of management that balances the amount of resources used to achieve an objective against what was actually accomplished.

emotional intelligence the ability to monitor and control ones emotions and behavior in complex social settings.

employment selection test any procedure used in the employment decision process.

empowerment making employees full partners in the decision-making process and giving them the necessary tools and rewards.

enlightened self-interest a business ultimately helping itself by helping to solve societal problems.

entrepreneurship process of pursuing opportunities without regard to resources currently under ones control.

escalation of commitment people get locked into losing courses of action to avoid the embarrassment of quitting or admitting error.

ethical advocate ethics specialist who plays a role in top-management decision making.

ethics the study of moral obligation involving right versus wrong.

ethnocentric attitude view that assumes the home countrys personnel and ways of doing things are best.

executive reality check top managers periodically working at lower-level jobs to become more aware of operations.

exit interview brief structured interview with a departing employee.

expectancy ones belief or expectation that one thing will lead to another.

expectancy theory model that assumes motivational strength is determined by perceived probabilities of success.

expert power compliance based on ability to dispense valued information.

explicit knowledge documented and sharable information.

extrinsic rewards payoffs, such as money, that are granted by others.

feedback control checking a completed activity and learning from mistakes.

feedforward control active anticipation and prevention of problems, rather than passive reaction.

fishbone diagram a cause-and-effect diagram.

flextime allows employees to choose their own arrival and departure times within specified limits.

flow chart graphic display of a sequence of activities and decisions.

formal group collection of people created to do something productive.

formal leadership the process of influencing others to pursue official objectives.

framing error how information is presented influences ones interpretation of it.

Gantt chart graphic scheduling technique.

general systems theory an area of study based on the assumption that everything is part of a larger, interdependent arrangement.

geocentric attitude world-oriented view that draws upon the best talent from around the globe.

glass ceiling the transparent but strong barrier keeping women and minorities from moving up the management ladder.

global company a multinational venture centrally managed from a specific country.

goal setting process of improving performance with objectives, deadlines, or quality standards.

grand strategy how the organizations mission will be accomplished.

grapevine unofficial and informal communication system.

group two or more freely interacting individuals with a common identity and purpose.

groupthink Janiss term for blind conformity in cohesive in-groups.

high-context cultures cultures in which nonverbal and situational messages convey primary meaning.

histogram bar chart indicating deviations from a standard bell-shaped curve.

hourglass organization a three-layer structure with a constricted middle layer.

human capital the need to develop to their fullest potential all present and future employees.

human relations movement an effort to make managers more sensitive to their employees needs.

human resource management the acquisition, retention, and development of human resources.

idealize to change the nature of a problems situation.

incremental changes subsystem adjustments required to keep the organization on course.

individualistic cultures cultures that emphasize individual rights, roles, and achievements.

influence any attempt to change anothers behavior.

informal group collection of people seeking friendship.

informal leadership the process of influencing others to pursue unofficial objectives.

innovation lag time it takes for a new idea to be translated into satisfied demand.

innovation process the systematic development and practical application of a new idea.

intermediate planning determining subunits contributions using allocated resources.

internal auditing independent appraisal of organizational operations and systems to assess effectiveness and efficiency.

internal customer anyone in your organization who cannot do a good job unless you do a good job.

international management pursuing organizational objectives in international and cross-cultural settings.

Internet global network of servers and personal and organizational computers.

intrapreneur an employee who takes personal responsibility for pushing an innovative idea through a large organization.

intrinsic rewards self-granted and internally experienced payoffs, such as a feeling of accomplishment.

iron law of responsibility those who do not use power in a socially responsible way will eventually lose it.

job analysis identifying task and skill requirements for specific jobs by studying superior performers.

job description document that outlines role expectations and skill requirements for a specific job.

job enrichment redesigning jobs to increase their motivational potential.

kaizen a Japanese word meaning continuous improvement.

knowledge management   developing a system to improve the creation and sharing of knowledge critical for decision making .

law of unintended consequences the results of purposeful actions are often difficult to predict.

leadership social influence process involving inspiring and guiding others in a common effort.

legal audit review of all operations to pinpoint possible legal liabilities or problems.

legitimate power compliance based on ones formal position.

low-context cultures cultures in which words convey primary meaning.

management the process of working with and through others to achieve organizational objectives in a changing environment.

management by objectives (MBO) comprehensive management system based on measurable and participatively set objectives.

managerial functions general administrative duties that need to be carried out in virtually all productive organizations to achieve desired outcomes.

managing diversity process of helping all employees, including women and minorities, reach their full potential.

mechanistic organizations rigid bureaucracies.

media richness a mediums capacity to convey information and promote learning.

mentor someone who develops another person through tutoring, coaching, and guidance.

monochronic time a perception of time as a straight line broken into standard units.

motivation  the psychological process that gives behavior purpose and direction.

multivariate analysis research technique used to determine how a combination of variables interacts to cause a particular outcome.

noise any interference with the normal flow of communication.

nonprogrammed decisions decisions made in complex and nonroutine situations.

norms general standards of conduct for various social settings.

objective commitment to achieve a measurable result within a specified period.

open-book management sharing key financial data and profits with employees who are trained and empowered.

open system something that depends on its surrounding environment for survival.

operational approach production-oriented field of management dedicated to improving efficiency and cutting waste.

operational planning determining how to accomplish specific tasks with available resources.

operations management the process of transforming material and human resources into useful goods and services.

optimize to systematically identify the solution offering the best combination of benefits.

organic organizations flexible, adaptive organizational structures.

organization a cooperative and coordinated social system of two or more people with a common purpose.

organizational behavior a modern approach seeking to discover the causes of work behavior and develop better management techniques.

organizational culture shared values, beliefs, and language that create a common identity and sense of community.

organizational effectiveness being effective, efficient, satisfying, adaptive and developing, and ultimately surviving.

organizational politics the pursuit of self-interest in response to real or imagined opposition.

organizational socialization the process of transforming outsiders into accepted insiders.

organizational values shared beliefs about what the organization stands for.

organization chart visual display of organizations positions and lines of authority.

organization development (OD) planned change programs intended to help people and organizations function more effectively.

organizing creating a coordinated authority and task structure.

ostracism rejection from a group.

Pareto analysis bar chart indicating which problem needs the most attention.

participative management empowering employees to assume greater control of the workplace.

PDCA cycle Demings plan-do-check-act cycle, which relies on observed data to continuously improve operations.

performance appraisal evaluating job performance as a basis for personnel decisions.

PERT (Program Evaluation and Review Technique) graphic sequencing and scheduling tool for complex projects.

PERT activity work in process.

PERT event performance milestone; start or finish of an activity.

PERT times weighted time estimates for completion of PERT activities.

plan an objective plus an action statement.

planning coping with uncertainty by formulating courses of action to achieve specified results.

planning horizon the elapsed time between planning and execution.

polychronic time a perception of time as flexible, elastic, and multidimensional.

power ability to marshal resources to get something done.

priorities ranking goals, objectives, or activities in order of importance.

proactive social responsibility strategy taking the initiative with new programs that serve as models for the industry.

problem the difference between actual and desired states of affairs.

problem solving the conscious process of closing the gap between actual and desired situations.

production technology third stage of the innovation process:developing a profitable production process.

product technology second stage of the innovation process: creating a working prototype.

programmed decisions repetitive and routine decisions.

quality conformance to requirements.

reactive changes changes made in response to unexpected situations.

reactive social responsibility strategy denying responsibility and resisting change.

referent power compliance based on charisma or personal identification.

refreezing systematically following up a change program for lasting results.

reward power gaining compliance through rewards.

rewards material and psychological payoffs for working.

role socially determined way of behaving in a specific position.

run chart a trend chart for tracking a variable over time.

satisfice to settle for a solution that is good enough.

scatter diagram diagram that plots relationships between two variables.

scientific management developing performance standards on the basis of systematic observation and experimentation.

self-managed teams high-performance teams that assume traditional managerial duties such as staffing and planning.

sexual harassment unwanted sexual attention that creates an offensive or intimidating work environment.

situational analysis finding the organizations niche by performing a SWOT analysis.

small business an independently owned and managed profit-seeking enterprise with fewer than 100 employees.

span of control number of people who report directly to a given manager.

stakeholder audit identifying all parties possibly impacted by the organization.

strategic changes altering the overall shape or direction of the organization.

strategic management seeking a competitively superior organization-environment fit.

strategic planning determining how to pursue long-term goals with available resources.

structured interview a set of job-related questions that have standardized answers.

synergy the concept that the whole is greater than the sum of its parts.

system a collection of parts that operate interdependently to achieve a common purpose.

tacit knowledge personal, intuitive, and undocumented information.

technology all the tools and ideas available for extending the natural physical and mental reach of humankind.

telecommuting sending work to and from ones office via computer modem while working at home.

tempered radicals people who quietly try to change the dominant organizational culture in line with their convictions.

Theory Y McGregors optimistic assumptions about working people.

total quality management (TQM) creating an organizational culture committed to continuous improvement in every regard.

training using guided experience to change employee behavior/attitudes.

transformational leaders visionaries who challenge people to do exceptional things.

transnational company a futuristic model of a global, decentralized network with no distinct national identity.

trust belief in the integrity, character, or ability of others.

unfreezing neutralizing resistance by preparing people for change.

universal process approach assumes that all organizations require the same rational management process.

upward communication encouraging employees to share their feelings and ideas with management.

videoconference live television or broadband Internet video exchange between people in different locations.

virtual organizations Internet-linked networks of value-adding subcontractors.

virtual team task group members from dispersed locations who are electronically linked.

whistle-blowing reporting perceived unethical organizational practices to outside authorities.


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