Principles of Business Management- GU DTB

What is the Headline Rule?
Would you be comfortable with this communication appearing on the Front Page of tomorrow’s newspaper? A tool to help re-think wording.
What are the 4 attributes of Responsible Business Communication?
Attribute 1- Use correct words
Attribute 2- Write what you know/stick to the facts!
Attribute 3- Never assume authority
Attribute 4- Be careful how you title communications
What is the 1st Attribute in Responsible Business Communications?
Use correct words- avoid value judgments and write clearly, concisely and carefully.
What is the 2nd Attribute in Responsible Business Communications?
Write what you know- Stick to the fact. Avoid drawing conclusions or speculating.
What is the 3rd Attribute in Responsible Business Communications?
Never assume authority- Avoid guarantees and avoid accepting resposibility.
What is the 4th Attribute in Responsible Business Communications?
Be careful how you title communications- Avoid legal categories.
In years past, which of the following was considered formal business communication?
Company letterhead
Any piece of text meant or meant to be read by someone else is considered ________________________.
intentional communication- Business related.
The more time that passes after you write a comment on a document, the ___________:
Less likely you or anyone else involved will recall the meaning.
Which of the following statement supports the “Use Correct Words” attribute of responsible business communication?
Write clearly, carefully, and concisely.
Which of the following statements supports the “Write What You Know” attribute of responsible business communication?
Clearly cite sources.
When dealing with competitors, you should always _______________
Be open about your identity
What is a practical way to be better prepared to handle the pressure of competition?
Think about and write down what you are not willing to do when it comes to competitors.
When handling the pressure to meet sales and profit goals, by which of the following statements should you abide?
Never assume
When faced with a n ethical dilemma, you should ask yourself:
How could my decision hurt my company?
In order to be better prepared if a leader in your organization crosses an ethical line:
Know how and to whom you should report a situation to.
1963 Equal Pay Act:
Requires men and women to be paid equally if they are performing equal work.
1964 Title VII of the Civil Right Act:
Prohibits discrimination in employment decisions on the basis of race, religion, sex, color, or national origin.
1967 Age Discrimination in Employment Act:
Prohibits discrimination against workers over the age of 40 and restricts mandatory retirement.
1978 Pregnancy Discrimination Act:
Prohibits discriminations against women in employment decision on the basis of pregnancy, childbirth, and related medical decisions.
1990 Americans with Disabilities Act:
Prohibits discrimination against disable individuals in employment decisions and requires employers to make accommodations for disabled workers to enable them to perform their jobs.
1991 Civil Rights Act:
Prohibits discriminations and allows for the awarding of punitive and compensatory damages, in addition to back pay, in cases of intentional discrimination.
1993 Family and Medical Leave Act:
Requires employers to provide 12 weeks of unpaid leave for medical and family reasons including paternity and illness of a family member.
What were the major principles of management emanating out of “Lost at Sea”?
1) Proper role of strategic planning in the area of HR and Capital Management.

2) Proper role of consultative decision making in business. 10 minds are better than 1.

3) Only differ to true expertise.

Name 2 reasons why negotiations are important.
1) A typical manager in business spends a good portion of his/her day negotiating.

2) One negotiates business and commercial contracts and one negotiates with peers, subordinates, and superiors.

What is Negotiation?
The process of two or more individuals, parties, or group coming together for the strategic purpose of reaching a mutually and bilateral beneficial agreement.
What is Distributive Bargaining?
WIN/LOSE Scenario

One side can gain only if the other side loses.
Long-term relationships are often sacrificed.
Decimate the opponent.

** YOU MUST BE 100% SURE YOU WILL NEVER SEE THE OPPONENT AGAIN if you use this method for negotiating**

What is integrative Bargaining?
WIN/WIN Scenario

Involve long-term business relationships.
Multi-dimensional aspects.
Seek agreements that work well for both individuals or parties.
Values mutual respect.

** This is the type of bargaining skill you should adopt**

What is Intra-organizational Bargaining ?
A chief negotiator must achieve a rapprochement among and between the members of his own bargaining team before negotiations commence or else balkanization may occur.
Attempting to achieve consensus within your respective company or firm.
What is Attitudinal Structuring?
An attempt to influence the attitudes and relationship of the negotiating parties. Conflict versus cooperation.
What are the four definitions of bargaining?
1) Distributive Bargaining
2) Integrative Bargaining
3) Intra-organizational Bargaining
4) Attitudinal Structuring
Describe a Bottom Line/Walk-Away Point when negotiating.
Non-negotiable. The lowest valued outcome that a negotiator is willing to accept also know as a reservation price.
Describe the term B.A.T.N.A.
Best Alternative To a Negotiated Agreement. Also is non-negotiable. Determined before negotiations commence.
Interests vs Positions
Interests are the deep and abiding reasons why a negotiation takes an idiosyncratic position.

Positions are the specific stands that a negotiator takes about a particular issue.

Describe “Anchor” when dealing with negotiations.
Benchmarks and quantitative measures by which negotiators judge everything else. First offers typically become anchors. You want to make the first offer. Should be high but reasonable.
Explain “The Concept of Framing”.
The way in which two negotiators perceive the same bargaining situation differently.

Risk aversion vs. Opportunities for mutual gain

What are some “Ground Rules” when preparing to negotiate?
Negotiate neutral spot. Use a round table. Prep and read agenda topics. Include mediation clause and arbitration clause.
What are reasons why you should not negotiate?
You have reached your bottom line on one or more issues and more movement downward would place you or your firm in a precarious position.

When you have not done your research or are ill-prepared.

Locus of authority- other party does not have the power to consummate a deal.

What are some traites of a god negotiator?
Persuasiveness, Open- Minded, is an educator, handles pressure well, Patience, Humor, Listening Skills, Flexibility, and Integrity!!
Name some ways to plan and prepare for negotiating.
Discern your goals, design your strategy, prepare opening statement, establish procedural guidelines, prioritize, construct first offer,
What are the four periods of negotiations?
Beginning
Middle
End
Deal Managing
What is “Good Faith Negotiation”?
Does not require an individual negotiator to reach a settlement or agree to a specific proposal or to make a specific concession to the other sid.

Make offers and counteroffers

What is a “Bad Faith Negotiation”?
Take or leave it bargaining
Delaying Tactics
List some Proper Negotiation Tactics.
Never make a bargaining concession unless you consider the worst case scenario.

Show respect

Take good notes

Only the chief negotiator speaks

Develop a game plan

Describe how Mediation is used.
Mediator have no power to impose a solution upon the individuals or parties involved. A superb dispute resolution device. Success rate of 80-85%.
Define Arbitration.
The selection of a neutral third party who analyzes the negotiating positions of the parties who have reached an impasse and who makes a final and binding decision on what will be included in the final bargained agreement or contract.
Describe a Theory X Leader.
Believes that people are basically lazy and coercion and threats of punishment must be used to get them to work. Believe that employees do not like to work, have little ambition.
Describe a Theory Y Leader
Believe that under the right conditions, employees will work hard but will also seek increased responsibility and challenge. A great deal of creative potential basically goes untapped, and employess will provide much higher quantity and quality output.
Maslow’s Hierarchy of Needs Theory
Populated the everyone has five basic needs:

Physiological , Safety, Social or needing to belong, Esteem, Self Actualization.

The Herzberg Two Factor Theory
Hygiene Factors: Salary, Technical supervision, Interpersonal relations, Working conditions.

Motivators: Achievement, Recognition, Advancement

What are the 3 needs in the Acquired Needs Theory
Need for Achievement (nAch)
Need for Power (nPower)
Need for Affiliation (nAff)

Choose a team leader w/ nAch and nPower

Leader- Participation Theory
Helps a leader choose for any problem situations the best decision making method.

Individual decision
Consultative Decision- Always Practice this one
Group Decision

Management by Objectives (MBO)
Its basic idea is the joint participates subordinate and superior in the establishment of clear and definite objectives for each individual and unit.
What are some advantages of MBO?
Subordinate learns at the beginning of a period what is expected and thus there is less chance of frustrations.

Agrees on a clear method of measuring performance.

They are movtivated to hit thir targets and not to seek excuses.

Goal Setting Theory
Beliefs and Attitudes, Intentions , Behavior, outcome. Carefully set and accepted goals can be motivating and Enhance goal acceptance through participation.
Equity Theory
Focuses on employee perceptions as to how fairly they think they are being treated compared to others.
Expectancy Theory
In very practical and applied terms, employees will be motivated to exert a hight level of effort when they believe it will lead to a good performance appraisal- salary increases. promotions, and bonuses
Organizational Justice
Distributive Justice

Procedural Justice

Interactional Justice

Contingency Thinking
tries to match managerial responses with the problems and opportunities unique to different situations, particularly those posed by individual and environmental differences. Helps managers understand situational differences.
What are some motivation tips managers can use for their employees?
Provided incentives and rewards, empower employees, and select the best.
What are some competencies of leaders?
Knew their own strengths and capitalized on them and knew their peoples strengths and capitalized on them.
What are some ways leaders provide positive discipline?
Provide coaching, give a verbal warning, prepare detailed written warning, have a formal discipline meeting, monitor employee, and follow up.
What are some advantages of decentralizations
Aids in development of managers.

Encourages competition.

Enhances morale.

Reduces workload

Why are some managers reluctant to delegate?
Poor skill in delegation, poor control systems, too much time consumed by delegation and
What are the 3 types of leadership behaviors or styles?
Authoritarian
Paternalistic
Participative