MGMT principles of management Chapter 5 (planning and Decision)

planning
choosing a goal and developing a strategy to achieve that goal
S.M.A.R.T. goals
goals that are specific, measurable, attainable, realistic, and timely
Goal commitment
the determination to achieve a goal
Action plan
a plan that lists th specific steps, people, resources, and time period needed to attain a goal
Proximal goals
short-term goals or subgoals
Distal goals
long-term or primary goals
Options-based planning
maintaining planning flexibility by making small, simultaneous investments in many alternative plans
Slack resources
a cushion of extra resources that can be used with options-based planning to adapt to unanticipated changes, problems, or opportunities
Strategic plans
overall company plans that clarify how the company will serve customers and position itself against competitors over the next two to five years
Purpose statement
a statement of a company’s purpose or reasoning for existing
Strategic objective
a more specific goal that unifies company-wide efforts, stretches and challenges the organization, and possesses a finish line and a time frame
tactical plans
plans created and implemented by middle managers that specify how the company will use resources, budgets, and people over the next six months to two years to accomplish specific goals within its mission
Management by objectives
a four-step process in which managers and employees discuss and select goals, develop tactical plans, and meet regularly to review progress toward goal accomplishment
Operational plans
day-to-day plans, developed and implemented by lower-level managers, for producing or delivering the organization’s products and services over a thirty-day to six-month period
Single-use plans
plans that cover unique, one-time-only events
Standing plans
plans used repeatedly to handle frequently recurring events
Policies
standing plans that indicate the general course of action that should be taken in response to a particular event or situation
Procedures
standing plans that indicate the specific steps that should be taken in response to a particular event
rules and regulations
standing plans that describe how a particular action should be performed, or what must happen or not happen in response to a particular event
Budgeting
quantitative planning through which managers decide how to allocate available money to best accomplish company goals
Decision making
the process of choosing a solution from available alternatives
Rational decision making
a systematic process of defining problems, evaluating alternatives, and choosing optimal solutions
Problem
a gap between a desired state and existing state
Decision criteria
the standards used to guide judgments and decisions
Absolute comparisons
a process in which each decision criterion is compared to a standard or ranked on its own merits
Relative Comparisons
a process in which each decision criterion is compared directly with every other criterion
Maximize
choosing the best alternative
Satisficing
choosing a “good-enough” alternative
Groupthink
a barrier to good decision making caused by pressure within the group for members to agree with each other
C-type conflict (cognitive conflict)
disagreement that focuses on -and-issue-related differences of opinion
A-type conflict (affective conflict)
disagreement that focuses on individuals or personal issues
Devil’s advocacy
a decision-making method in which an individual or a subgroup is assigned the role of critic
Dialectical inquiry
a decision-making method in which decision makers state the assumptions of a proposed solution (a thesis) and generate a solution that is the opposite (antithesis) of that solution
Nominal group technique
a decision-making method that begins and ends by having group members quietly write down and evaluate ideas to be shared with the group
Delphi technique
a decision-making method in which members of a panel of experts respond to questions and to each other until reaching agreement on an issue
Brainstorming
a decision-making method i which group members build on each others’ ideas to generate as many alternative solutions as possible
Electronic brainstorming
a decision-making method in which group members use computers to build on each others’ ideas and generate as many alternative solutions as possible
Production blocking
a disadvantage of face-to-face brainstorming in which a group member must wait to shrae an idea because another member is presenting an idea
Evaluation apprehension
fear of what others will think of your ideas