Decision making
How many decisions do we average per day?
Routine and low involvement decisions
Programmed
Identifying and selecting appropriate goals and courses of action for an organization
Planning
The five forces model consists of what?
Level of rivalry, potential for entry, power of suppliers, power of customers, and substitutes.
The process in which a company’s operations expand backwards to production industries that make inputs, or forward to the consumer
Vertical integration
The state of mental overload that impedes ability to make decisions
Decision fatigue
Unpredicted and non-routine decisions that require higher involvement
Nonprogrammed
The cluster of decisions of what goals to pursue, actions to take, and how to achieve goals of an organization.
Strategy
Planning exercise in which managers identify strengths, weaknesses, opportunities, and threats
SWOT Analysis
Expanding operations into a new industry that serves different production
Diversification
Process in which leaders respond to opportunities and obstacles, leading with feelings, beliefs, and hunches.
Intuition based decision making
Senge's principals for creating a "learning organization"
develop personal mastry, build complex and challenging mental models. promote learning, and build a shared vision
A declaration of an organization’s purpose that identifies the organization’s products and customers and distinguishes the organization from its competitors
Mission statement
The ability of the chief operating officer and top managers to convey a compelling vision to their subordinates of what they want the organization to achieve
Vision statement
Expensive, less flexibility, loss of focus, and loss of cultural support.
Cons of vertical integration