Mgt 301 Test 1.docx - Ch 1 Organizationa group of people who work together to achieve some specific purpose Management is defined as(1 the pursuit of

Mgt 301 Test 1.docx - Ch 1 Organizationa group of people...

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Ch. 1 Organization —a group of people who work together to achieve some specific purpose. Management is defined as : (1) the pursuit of organizational goals efficiently and effectively by (2) integrating the work of people through (3) planning, organizing, leading, and controlling the organization's resources. Efficiency —the means. Efficiency is the means of attaining the organization's goals. To be efficient means to use resources—people, money, raw materials, and the like—wisely and cost- effectively. Effectiveness —the ends. Effectiveness regards the organization's ends, the goals. To be effective means to achieve results, to make the right decisions and to successfully carry them out so that they achieve the organization's goals. Efficiency: Saving Company Dollars. Effectiveness: Retaining Customers & Their Dollars. The Management Process: Managing for Competitive Advantage: Competitive advantage is the ability of an organization to produce goods or services more effectively than competitors do, thereby outperforming them. This means an organization must stay ahead in four areas: (1) being responsive to customers, (2) innovation [Finding ways to deliver new or better goods or services is called innovation ], (3) quality, and (4) efficiency. Managing for Information Technology:
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The challenge of managing for information technology, not to mention other technologies affecting your business, will require your unflagging attention. Most important is the Internet. This kind of e-commerce, or electronic commerce —the buying and selling of goods or services over computer networks—has reshaped entire industries and revamped the very notion of what a company is. More important than e-commerce, information technology has led to the growth of e-business , using the Internet to facilitate every aspect of running a business. Because the Internet so dramatically lowers the cost of communication, it can radically alter any activity that depends heavily on the flow of information. Some of the implications of information technology are: Far-ranging electronic management: e-communication all the time More and more data: challenges to decision making. The rise of artificial intelligence: more automation in the workforce. Organizational changes: shifts in structure, jobs, goals, and knowledge management. Managing for Sustainability: Sustainability is defined as economic development that meets the needs of the present without compromising the ability of future generations to meet their own needs. Levels and Areas of Management: Levels of Management: Top Managers: Determining Overall Direction . An organization's top managers tend to have titles such as “chief executive officer (CEO),” “chief operating officer (COO),” “president,” and “senior vice president.” Top managers make long-term decisions about the overall direction of the organization and establish the objectives, policies, and strategies for it. They need to pay a lot of attention to the environment outside the organization, being alert for long-run
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opportunities and problems and devising strategies for dealing with them. Thus, executives at
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