CLEP Principles of Management Flashcards

Terms Definitions
The process of achieving organizational objectives through the use of people and other resources (capital, land and equipment)
The Father of Scientific Management
Frederick Taylor (1856-1915) Published "Principles of Scientific Management"
The Hawthorne Experiments (Elton Mayo)
AT&T's Western Electric Hawthorne Plant was chosen as the lab to test if better lighting (provided by GE light bulbs) would increase productivity.
Decision-making process steps
Define the problem

Identify limiting factors

Develop potential alternatives

Implement the decision

Establish an evaluation and control system
Intrinsic Reward (Reinforcement)
Motivating events which occur as a natural part of the learning experienceExample: Personal Development as a reward for the experience of doing some work
Delphi Technique
A technique in which the members of a group are intentionally separated and given the same problem. They return their solutions to the leader, the solutions are pooled, and the group members rate the ideas.
Operational Goal
A specific goal with quantifiable results.Example: "produce 10,000 units each day"
Payback analysis
Tool for determining when an object (a business expense) will pay for itself
Henry Fayol (1841-1925)
Another founding member of the classical management school, described five functions of management as: 1) to forecast and plan2) to organize3) to command4) to coordinate5) to controlAlso created the 14 Principles of Management (Organization)
Max Weber (1864-1920)
Described the ideal character of bureaucracy -- adding a structural component to the classical management school. According to Weber, bureaucratic organizations were defined by such features as hierarchy of control, specialization of function, centralization of information and control, and formal rules, policies and procedures.
Types of Authority
Line Authority

Staff Authority

Team Authority
"14 Principles of Management" (of Organization
Henry Fayol
Specialization of labor



Unity of command

Unity of direction

Subordination of Individual Interests



Scalar Chain (line of authority)



Personnel Tenure


Esprit de corps
Product Development
Creation of new products

Improvement of existing products

Alteration of old products
When two parties agree to work in a cooperative manner to resolve a labor dispute
Informal Organization
Emphasizes personal relationships
Organic Structure (vs. Mechanistic Structure) in Organizational Theory
Best for companies that make individual, one-of-a-kind products
Mechanistic Structure (vs. Organic Structure) in Organizational Theory
Individual specialization

Simple integrating mechanisms



Much written communication

Informal status in org based on size of empire

Organization is a network of positions,corresponding to tasks.

Typically each person corresponds to one task
Frederick Herzberg
contributed to human relations and motivation two theories of motivation as follows: Hygiene Theory

Frederick Herzberg "Hygiene Theory"
The hygiene factors include

the company,

its policies and its administration,

the kind of supervision which people receive while on the job,

working conditions

interpersonal relations,


status, and

Frederick Herzberg "Motivation"
The second part of Herzbergs' motivation theory involves what people actually do on the job. The motivators are


growth / advancement and

interest in the job.

These factors result from internal generators in employees, yielding motivation rather than movement.
Abraham Maslow's Hierarchy of Needs motivational model
Biological and Physiological needs - air, food, drink, shelter, warmth, sex, sleep, etc.

Safety needs - protection from elements, security, order, law, limits, stability, etc.

Belongingness and Love needs - work group, family, affection, relationships, etc.

Esteem needs - self-esteem, achievement, mastery, independence, status, dominance, prestige, managerial responsibility, etc.

Self-Actualization needs - realising personal potential, self-fulfillment, seeking personal growth and peak experiences.
Organization's Grapevine
An informal and an integral part of a company's communication process, where person-to-person communication distributes information.
A company's "Balance Sheet"
A quantitative summary of a company's financial condition at a specific point in time, including assets, liabilities and net worth.
W. Edwards Deming
Creator of the "Fourteen Points" system for achieving Total Quality Management (TQM)
The ability to garner the respect and cooperation of employees to achieve an organization's goals
Referent Power
Is invested by employees in a leader whom they admire and wish to emulate
The leader or manager with
referent power is the one that others refer to owing to goodwill and mutual respect. It comes from a successful track record over a period of time involving common interests between individuals.
Initiative Managers
Initiative Managers possess the leadership traits of being ambitious and perseverant self-starters
The first management position to which most employees will be promoted is 'Supervisor'
Henry Mintzberg
Three managerial roles:


The ability of a system to total more than the sum of its parts
Organizations implement "Standards" so that employees will maintain a certain level of quality in their work
When organizations mandate that managers adhere to company policy when making decisions
The result is that decisions are more consistent from manager to manager
ISO 9000 Certification
Companies that wish to compete as world-class organizations should acquire an ISO 9000 Certification as demonstration of their maintenance of a high level of quality
In a dynamic, fast-paced environment, the most efficient way of bringing about improvement in quality is via "Reengineering"
An effective goal
An "Effective Goal" should not be difficult to achieve
The obligation that an employee assumes when accepting an assigned task is called Responsibility
A Team
A group of people who work together cooperatively in an effort to achieve a common organizational objective is known as a Team
A Functional Team
A functional team is composed of employees from a number of hierarchical levels.
Functional teams also are more productive because they don't overlap areas of responsibility.
Job Description
A written explanation of the tasks that constitute a job and the way in which these tasks should be performed
Mary Parker Follett
organizations establishing common goals for employees

employee participation in decision making

the importance of people over techniques

the need for ethics and leadership
Smoothing (as a strategy for managing conflict)
Involves playing down differences among parties
Frederick Taylor
Frederick Taylor (1856-1915) Published "Principles of Scientific Management"
which became "Taylorism" Develop a "science" for every job, including rules motion, standardized work implements, and proper working conditions.

Carefully select workers with the right abilities for the job

Carefully train these workers to do the job, and give them proper incentives to cooperate with the job science

Support these workers by planning their work and by smoothing the way as they go about their jobs.

Email in the workplace
Business e-mails should be concise.
Blake - Mouton Grid
The relative emphasis that a manager gives to each of two concerns:

getting the work done

the people involved
determines the productivity of working relationships. Link
Organizational Development
Is a plan to make major changes to the processes and culture of an entire organization
Larry Greiner's organizational development theory
Stages of growth:



Coercive Power
Need definition... send to [email protected]
Critical Path
According to the Program Evaluation and Review Technique (PERT) process, the Critical Path is the set of dependent tasks that together take the longest time to complete
If an employee receives additional financial compensation beyond a salary
Staffing involves the recruiting, selection, training, appraising, development and compensation of employees.
Company policy
Company policy is the set of rules and regulations to which employees must adhere when making decisions and performing other job-related activities
National Labor Relations Act
According to the
National Labor Relations Act, it is permissible for a union to bargain collectively for workers through representatives of their own choosing
Behavioral management theory
The behavioral school of management focuses on the human-based elements of work, believing that increased understanding of such behaviors as group interaction, motivation and conflict resolution will lead to increased productivity.
Customer-focused quality school of management
The customer-focused quality school of management strives to continuously improve performance to deliver high quality goods or services to the marketplace
Boundary spanning
Boundary spanning is a means by which managers can monitor the internal and external environments affecting the organization. It is an information-gathering process focused on developments that could affect the organization
An embargo, or blockage, is a situation where trade to a particular region or country is prohibited
Team leaders' tools for measuring the effectiveness of the team
Personal Outputs - Such as team member commitment
Performance Outputs - Such as service contracts sold, overtime hours invested, products designed and advertisements generated
Groupthink is the phenomenon of group members going along with the opinion of the group. When groupthink occurs, it is likely that not all of the best possible options are being brought to the table.
Douglas McGregor
Douglas McGregor, a behavioral management theorist, created the concept of the "Theory X" manager and "Theory Y" manager. According to McGregor, the Theory X manager sees employees as being essentially irresponsible, untrustworthy and lazy, whereas the Theory Y manager sees employees as being responsible, trustworthy and motivated.
Isabel Myers and Katherine Briggs
Isabel Myers and Katherine Briggs developed a model regarding the differences in the way that people make decisions. Isabel Myers and her mother, Katharine Briggs, developed the Myers-Briggs Type Indicator (MBTI) based on psychologist Carl Jung's studies on psychological type.
Unity of command
The unity of command principle states that each employee must be accountable to one and only one supervisor
Job Enrichment
Redesigning a job so that the position includes a greater variety of tasks, and is invested with greater responsibility and authority is known as job enrichment.
Empowerment gives employees autonomy and authority to accomplish certain tasks. When employees become empowered, they require less monitoring as they have more license to make decisions on their own
Career Development
A program that coordinates an organization's employment needs with its employees' career plans is known as career development
Global Strategic Partnership
A global strategic partnership is a multinational approach in which two partnered firms make a long-term commitment to come up with major products expected to dominate international markets. A global strategic partnership only utilizes one product marketing strategy for all markets
Operational Plan
Operational plans directly support the tactical plans designed by middle-level managers.
First-level managers, such as team leaders and supervisors, enact operational plans as a means by which to achieve their job responsibilities.
Cost Leadership Strategy
A cost leadership strategy strives to keep operating costs low by being efficient and maintaining tight controls. A company utilizing such a strategy endeavors to manufacture a product that is already on the market more cost effectively.
Twinning is another name for job sharing, a situation in which two or more employees split a single job.
Manager's Span of Control
A manager's span of control refers specifically to the number of employees who report directly to the manager.
Creativity (as a phase of organizational growth according to Larry Greiner)
The creativity phase is dominated by an organization's founders and their focus on creating a product and a market for that product. As the organization grows, the founders start to get overburdened with management responsibilities and begin to have leadership conflicts with employees.
Cliques are exclusive groups of individuals that naturally form in an organization; they are part of the informal organization.
The final stage in an organization's change process that involves reinforcement of new behaviors is known as refreezing.
The processes that precede it are the unfreezing and changing phases.
Unfreezing is the stage in an organization's change process that involves an awareness of the need for a change and the obstacles that will be involved with it.
Force-field analysis
Force-field analysis is a technique that implements change by isolating those forces that drive the change and those that resist it. It sees the change process as that which effectively overcomes an organization's existing condition known as the status quo
Coercive power
Coercive power stems from the authority to punish in ways such as demoting or firing employees.
Concurrent control
Concurrent controls monitor performances while they are occurring to ensure that they are meeting standards.
Mediation (as a form of conflict resolution)
A mediation is characterized by a third party being invited to facilitate a resolution of a dispute. When that third party is actually empowered to decide how the dispute will be resolved, it is called arbitration.
Liquidity ratio
A liquidity ratio demonstrates a company's ability to generate cash.
Activity ratio
An activity ratio measures how efficiently a company operates.
Profitability ratio
A profitability ratio demonstrates a company's ability to generate profits.
Debt ratio
A debt ratio measures a company's ability to pay its debts
Marketing ratio
A marketing ratio measures market shares, sales quotas and profitability.
People-centered changes
People-centered changes involve adjustments to employee attitudes and behaviors and improvements to skill levels or performance. Such changes usually call for motivational leadership, solid communication, group encounters and professional development.
Management Information SystemsManagement information systems (MIS) collect, organize and distribute data in a way that the information produced is useful and relevant to a manager.
Entropy is a system's tendency to go toward inefficiency if left to its own devices
An Open System (as relates to change)
An organization that both affects and is affected by constant change on a regular basis can be described as an open system. An open system interacts with its environment and receives feedback from it, whereas a closed system does not.
Resister (in regards to change)
A resister is a force of change directed toward inhibiting the solving of an organization's problem.
Impoverished Leadership Style (from the Blake-Mouton managerial grid model)
The impoverished leadership style is characterized by low-level concern with both people and production. Its primary aim is to create as few problems for managers as possible.
Authoritarian Leadership (from the Blake-Mouton managerial grid model)
The authoritarian leadership style is known for low-level concern with people and high-level concern with production
'Classifying' error of perception
Classifying is assuming something about someone because he or she is a member of a particular group.
Pygmalion effect
The Pygmalion effect is the notion of the self-fulfilling prophecy, whereby individuals will act accordingly with what another's expectations of them are.
Feedforward controls are preliminary controls that aim to prevent problems with below-standard performance before they happen.
Job enlargement
Job enlargement is the redesigning of a job such that the position includes a greater variety of tasks but no additional responsibilities.
/ 93

Leave a Comment ({[ getComments().length ]})

Comments ({[ getComments().length ]})


{[ comment.comment ]}

View All {[ getComments().length ]} Comments
Ask a homework question - tutors are online