Glossary

The expectation that a member is able to provide compelling reasons for the decisions that they make. (See section 10.4)

The management of property and wealth in such a way that the short-term monetary value for owners is maximized (profit maximization focus). (See section 3.2)

A culture that tends to place greater value on flexibility and change. (See section 11.2.2)

The basis for pay, promotion, and termination decisions. (See section 12.5)

When existing structures and systems persist simply because they are already in place. (See section 7.5.2)

Expenses that owners pay to ensure that managers act in the interests of the firm rather than in their own self-interest. (See section 6.2.2)

The level of consensus among decision-makers about the goals of an organization and the best way to achieve those goals. (See section 7.4.2)

Tends to have a dual (cost leader plus differentiator) or compounder (minimizer plus transformer) strategy, an outreach structure and market culture, an oasis environment, and an engineering technology. (See section 11.3)

The formal power given to specific members (usually managers) to arrange resources and/or to assign tasks and direct the activities of other members in ways that help to achieve organizational goals. (See section 10.4.1)

Classifies each strategic business unit (SBU) according to (a) its market share, and (b) the rate at which its industry is growing. (See section 8.5.2)

A set of techniques by which reinforcement theory is used to modify human motivation and behavior. (See section 14.3.1)

Asking applicants to draw from their experience to share an example of their work-related actions. (See section 12.3.2)

A for-profit corporate entity that has legally defined and recognized social or environmental goals. (See section 6.3.4)

The tendency to make suboptimal decisions because individuals lack complete information and have limited cognitive ability to process information. (See section 2.3.3)

Emphasizes the design and management of organizations on an impersonal, rational basis via methods like clearly defined lines of authority and responsibility, formal record keeping, and rule-based decision-making. (See section 2.3.1)

A justification, often documented, that shows how a proposed new organizational initiative will enhance the organization’s financial bottom line. (See section 1.3.2)

Describes the inputs and processes an organization uses to create, deliver, and capture value. (See section 6.3.3)

A written document that describes the key features, actions, structure, and systems for a proposed new organization that is designed to take advantage of an entrepreneurial opportunity. (See section 6.3.3)

The combination of goals, plans, and actions that an organization in a specific industry uses to accomplish its mission. (See section 8.5.1)

An economic system based on rewarding entrepreneurs for profitably combining resources in ways that create valued goods and services. (See section 2.2.5)

An organization that enjoys a high market share in a low growth or mature industry. (See section 8.5.2)

The extent to which decision-making authority resides atop the organization’s hierarchy. (See section 10.4.1)

Certainty exists when managers know exactly what outcomes are associated with each alternative they are choosing among, the possible payoffs associated with each possible outcome for each alternative, and the probability or likelihood that each pay-off will occur. (See section 7.4.1)

Someone who acts as a catalyst and takes leadership and responsibility for managing part of the change process. (See section 13.3.3)

Monitoring and understanding the work unit’s larger environment, discovering innovative ways of working within it, and promoting the implementation of major changes in strategy, structures, and systems, or in the array of goods and services that are offered. (See section 15.3.3)

Individual who starts an entirely new organization to pursue a new product or service idea. (See section 1.4.2)

Listing all possible options to choose from, determining the costs and benefits associated with each, and then choosing the best option. (See section 7.4.3)

Looking at managing activities as though the organization were a self-contained and self-sufficient unit. (See section 2.3.3)

An organization that is owned and democratically run directly by its members. (See section 6.3.3)

The ability to influence the behavior of others through the threat of punishment. (See section 14.3.4)

Learned guidelines or procedures that help people interpret and respond to what is happening around them.

A contract negotiated by employers and unions that specifies and regulates duties and responsibilities that employees and employers have to one another. (See section 12.1)

The process used when management negotiates wages and other terms of employment with a union or organized group of workers. (See section 12.1)

The process of transmitting information via meaningful symbols so that a message is understood by others. (See section 17.1)

The organizational path that information travels via a medium. (See section 17.3)

The means used to deliver and receive information. (See section 17.3)

Standing alongside people who are suffering and doing what you can to support them. (See section 5.3.3)

Monetary payments such as wages, salaries, and bonuses as well as other goods, commodities, and intangible rewards that are given to organizational members. (See section 12.5.2)

Other organizations that offer similar products or services, or that offer products or services that meet the same customer need. (See section 6.3.3)

When an organization simultaneously follows both a minimizer and a transformer strategy, both reducing negative externalities and enhancing positive externalities. (See section 8.5.1)

The ability to think about complex and broad organizational issues. (See section 1.2)

Determines whether an organization’s conversion processes meet its performance standards. (See section 18.2.1)

Diversified organizations with SBUs in unrelated industries. (See section 8.5.2)

Optimizing an action’s rightness (and limiting its wrongness) as measured by its effect on the net overall happiness outcome for everyone involved. (See section 1.3.2)

The rational-analytic, top-down, and linear aspects of strategy formulation. (See section 9.5)

How managers will respond to possible future events that could disrupt existing plans. (See section 9.3.2)

A theory the best way to manage a specific organization depends on, and is determined by, identifying the optimal fit between its structure, culture, environment, technology, and strategy. (See section 2.3.3)

Individuals who are contracted for a specific project or fixed time period but are not considered to be permanent employees of the host organization. (See section 12.6)

Making many small, incremental improvements with regard to how things are done in an organization. (See section 7.4.3)

Seeks to ensure that an organization’s activities serve to accomplish its goals. (See section 18.1)

The difference between a firm’s financial expenses and its financial revenues. (See section 3.3.3)

A resource or ability that is essential for the achievement of organizational goals. (See section 8.3.2)

Managers’ obligations to act in ways that enhance societal well-being even if there are no direct benefits to the firm’s financial well-being by doing so. (See section 2.3.5)

Determines the combination of industries in which a diversified organization will have an SBU. (See section 8.5.2)

A business that enjoys many of the privileges and legal rights of a person, is considered by law to be an entity separate from its owners, and where the financial liability of its owners is limited to the value of their investment in the firm. (See section 2.2.5)

When an organization has lower financial costs than rivals do for similar products, so that it can capture more profit and/or a higher market share via lower prices. (See section 8.5.1)

Ensuring that the material content of products at the end of their useful life can be reused to make new products and that new products are made from expired products. (See section 4.2.1)

Events that have a major effect on the ability of an organization’s members to carry on their daily tasks. (See section 9.3.2)

Involves entrepreneurs receiving small amounts of money from a large number of people, often in exchange for a reward (but typically not repayment of the funds or a role in management). (See section 6.3.4)

How much influence customers have on an organization. (See section 8.4.2)

Facts and figures, some of which managers deem useful but the majority are not. (See section 18.2.2)

When entrepreneurs borrow money from a bank, family and friends, or a financial institution that must be paid back at some future date. (See section 6.3.3)

A choice that is made among a number of available alternatives to address a problem or opportunity. (See section 7.1)

Used to gather and manipulate data from a variety of sources to help evaluate performance. (See section 18.2.2)

When the receiver attributes meaning to the message. (See section 17.4)

Tends to have a cost leader or minimizer strategy, a programmed structure and hierarchy culture, a barren environment, and a routine technology. (See section 11.3)

The process of giving authority to a person or group to make decisions in a specified sphere of activity. (See section 10.4.1)

Gathering a variety of stakeholders together to learn ideas from one another about how to address an issue. (See section 17.2.1)

How members and resources are grouped together to achieve the work of the larger organization. (See section 10.5.1)

Learning activities that result in broad growth and training beyond the scope of one’s current job. (See section 12.4.2)

Feedback on progress toward expectations and identify areas for improvement. (See section 12.5.1)

When an organization offers products or services with unique features that cost less for it to provide than the extra price that customers are willing to pay for the features. (See section 8.5.1)

Treating everyone with dignity and respect in community. (See section 10.4.2)

Situations in which one must choose when there is no obvious best choice. (See section 5.5.2)

When someone is treated unjustly or badly based on characteristics such as their race, age, gender, or disability. (See section 12.1)

A competency that an organization has that is superior to that of its competitors. (See section 8.3.2)

Competes in more than one industry or sector, or serves customers in several different product, service, or geographic sectors. (See section 8.5.2)

The process of decreasing the number of industries in which a diversified firm operates an SBU. (See section 8.5.2)

Where members work together as a subunit that provides a specific kind of product or service, serves similar customers, or operates in the same geographic region. (See section 10.5.1)

Capitalism that is characterized by an emphasis on detailed contracts, public financial reports, short-term maximization of financial performance, management independence and rights, stringent anti-trust legislation, rewarding a labor force that is mobile and has transferable skills, and using stock options to motivate managers. (See section 3.2.1)

When an organization combines both a cost leadership and a differentiation strategy. (See section 8.5.1)

The amount of the Earth’s natural resources that are required to sustain a particular lifestyle or activity. (See section 4.2)

A condition evident when the Earth’s natural systems are functioning in a way that sustains and enhances the flourishing of life. (See section 4.2)

How goods and services are produced, distributed, and consumed. (See section 3.2.2)

Cost savings that arise from producing a large volume of output. (See section 6.2.1)

Characterized by two-way, give-and-take communication that fosters mutual understanding and community. (See section 5.4.4)

A succinct description of the entrepreneur’s plan and the value it offers. (See section 6.3.2)

Activities that are necessary to effectively manage the relationship between employers and employees. (See section 12.1)

Choosing the symbols and media that are used to develop and transmit a message. (See section 17.3)

A variation of FBL centralization that embraces SET dignification on a piecemeal basis when it profitably reduces negative socio-ecological externalities. (See section 10.4.2)

Suggests that ethical management seeks to improve an organization’s financial well-being, especially via reducing negative social and ecological externalities. (See section 1.3.2)

A variation of FBL departmentalization coupled with some SET participation in cases where the latter enhances the organization’s financial well-being. (See section 10.5.2)

A variation of FBL specialization that embraces SET sensitization in instances where it profitably reduces negative socio-ecological externalities. (See section 10.3.1)

A variation of FBL standardization that embraces SET experimentation when it profitably reduces negative socio-ecological externalities. (See section 10.2.2)

Someone who conceives of new or improved goods or services and exhibits the initiative to develop that idea by making plans and mobilizing the necessary resources to convert the idea into reality. (See section 1.4)

Identifies an entrepreneurial opportunity and describes a detailed management plan for acting on that opportunity. (See section 1.4.2)

The natural tendency for a closed system to fail because it is unable to acquire the inputs and energy it requires. (See section 2.3.3)

The availability of resources in the environment that enable organizations to grow and change. (See section 11.2.3)

The prevalence and speed of change among key resources and stakeholders in an organization’s external environment. (See section 11.2.3)

When investors in a new venture receive shares and become part owners of the organization. (See section 6.3.3)

A theory based on the logic of social comparisons and the idea that people are motivated to seek and preserve social equity in the rewards they expect for performance. (See section 14.3.2)

When a manager perseveres with the implementation of a poor decision in spite of evidence that it is not working. (See section 7.5.2)

Principles one uses to choose the right action, particularly when the action affects others. (See section 5.5.2)

When managers enter a foreign country with the belief that practices from their home country offer the best way to manage in a foreign country. (See section 5.4.2)

The probability perceived by an individual that exerting a given amount of effort will lead to a certain level of performance. (See section 14.3.1)

Describes how motivation can be increased by increasing employees’ expectations that they can achieve certain goals, and that the achievement of those goals will be linked to rewards that they value. (See section 14.3.1)

Members’ ongoing voluntary implementation of new and possibly better ways of performing tasks on a trial basis. (See section 10.2.2)

The ability to influence the behavior of others based on special knowledge, skills, and expertise that one possesses. (See section 14.3.4)

Information that can be codified or articulated. (See section 7.4.1)

Prioritizes organizational objectives over employee needs. (See section 11.2.2)

Characterized by an emphasis on how stakeholders beyond an organization’s boundaries engage in experimentation, sensitization, dignification, and participation. (See section 11.2.1)

Positive and negative effects that organizations have on society that are not reflected in their financial statements. (See section 1.3.2)

Behavior that is exhibited because of the promise of some desired outcome (reward) from someone else. (See section 14.1)

An approach to trade that tries to ensure that workers in low-income countries are paid a fair price for the products they produce. (See section 3.4.1)

A group of people—typically connected by marriage or kinship ties—who have a shared history, who feel a sense of collective belonging, and who are committed to helping each other build a shared future. (See section 6.2.2)

An organization controlled by two or more members of a single family, in cooperation or in succession. (See section 6.2.2)

An approach that emphasizes maximizing an organization’s financial well-being, which is typically achieved by appealing to individual self-interests. (See section 1.3.2)

Determines whether an organization’s outputs meet its performance standards. (See section 18.2.1)

Determines whether an organization’s inputs meet its performance standards. (See section 18.2.1)

When information is intentionally withheld or not communicated to others. (See section 17.2)

A performance advantage enjoyed by the first organization or product to reach a large portion of the potential market. (See section 6.3.3)

Business expenses that do not vary with the quantity of organizational output. (See section 6.2.1)

The portion of an overall market that an organization is targeting to serve. (See section 8.5.1)

The written documentation in an organization. (See section 10.2.1)

An organization that creates both positive and negative externalities. (See section 8.5.2)

Involves a franchisor selling a franchisee a complete package to set up an organization, including such things as using its trademark and trade name, its products and services, its ingredients, its technology and machinery, as well as its management and standard operating systems. (See section 1.4.2)

The idea that goods and services can flow across national and international boundaries without financial barriers (i.e., tariffs, quotas, or subsidies). (See section 3.4.1)

When people who are unable to satisfy some needs at a basic level compensate by focusing on over-satisfying other needs. (See section 14.2.2)

Where members are placed in the same department based on their having similar technical skills and using similar resources to perform their tasks. (See section 10.5.1)

A bar graph that managers could use to schedule and allocate resources for a production job. (See section 2.3.1)

The difference between a firm’s financial expenses and its financial revenues after considering its socio-ecological externalities. (See section 3.3.3)

Changes in economics, technology, politics, and culture that result in increasing interdependence and integration among organizations and people around the world. (See section 3.4.1)

When people become so focused on specific goals that they lose sight of other, more important goals. (See section 9.2.2)

Objectives or desired results that members in an organization are pursuing. (See section 7.4.2)

Deliberately using misleading information in order to present a false image of ecological responsibility. (See section 3.3.2)

The total financial value of all the goods and services produced within a country. (See section 3.3.2)

A collection of three or more people who share a common interest or association. (See section 16.2.1)

Group members’ belief that they are able to complete a task successfully. (See section 14.3.1)

The tendency of team members to strive for and maintain unanimity in decision-making rather than thoroughly considering all alternatives. (See section 16.3.1)

Distinguished by a strong and clear intention to grow a new organization into a large and influential force in their industry. (See section 1.4.2)

Withdrawing one’s financial investment (i.e., ownership) in an organization with the intent of achieving financial gain by doing so. (See section 18.3)

Suggests that giving workers special treatment increases their productivity. (See section 2.3.2)

When an organization’s services or product lines are expanded or offered in new markets. (See section 8.5.2)

Managerial actions aimed at increasing employee satisfaction in order to improve productivity. (See section 2.3.2)

The set of organizational activities directed at attracting, developing, and maintaining a well-functioning workforce. (See section 12.1)

Managing property and wealth to maximize monetary value for owners, while simultaneously reducing negative socio-ecological externalities for key stakeholders (harm reduction focus). (See section 3.2.2)

Seeks the advantages of the functional structure (by achieving internal efficiencies and developing internal expertise in some areas) and the advantages of the divisional structure (by being able to adapt to changes in a dynamic external environment. (See section 10.5.1)

Address issues of work context; they include working conditions, pay, company policies, and interpersonal relationships. (See section 14.2.2)

Someone who actively and enthusiastically supports a new idea. (See section 13.3.3)

A specified constellation of concepts and theory that collectively identifies what effective management means and how it is practiced. (See section 1.3.3)

The application of existing ideas, which may come from other units within the organization or from outside of the organization. (See section 13.2.3)

When an existing organization design is fine-tuned. (See section 13.2.1)

Placing a high value on self-interests. (See section 2.2.5)

All organizations that are active in the same sector of social, political, and/or economic activity. (See section 8.4)

Data that have been given meaning and value. (See section 18.2.2)

The tendency to overlook or downplay feedback that makes a decision look bad, and instead to focus on feedback that makes the decision look good. (See section 7.5.2)

Mechanisms that identify, collect, organize, and disseminate information. (See section 18.2.2)

Resources that cannot be copied or developed by other organizations, or are costly or difficult to do so. (See section 8.3.2)

When a firm’s ownership shares are sold for the first time on a public securities exchange. (See section 17.5.3)

Behaviors like determining tasks and roles and assigning them to members, coordinating members’ actions, and maintaining the standards for task performance. (See section 15.3.1)

An organization that has high sustainable development but low restorativeness. (See section 8.5.2)

The development and implementation of new ideas and practices. (See section 13.2.3)

When certain practices or rules have become valued in and of themselves. (See section 2.3.4)

The perceived probability that successfully performing to a certain level will result in attaining a desired outcome. (See section 14.3.1)

The extent or strength of competition among the organizations in an industry. (See section 8.4.5)

Places relatively more value on the needs of employees as compared to overall organizational goals. (See section 11.2.2)

Characterized by an emphasis on how stakeholders within an organization’s boundaries engage in experimentation, sensitization, dignification, and participation. (See section 11.2.1)

Individuals who exhibit entrepreneurship within an existing organization. (See section 1.4.2)

Behavior that is exhibited because the task is inherently satisfying, enjoyable, or meaningful to the person. (See section 14.1)

Making decisions based on tacit knowledge, which can be based on experience, hunches, or “gut feel.” (See section 7.4.1)

The idea that the good of the community is increased when every individual is permitted to pursue their own self-interested goals. (See section 1.3.2)

The investigative process of gathering and interpreting information to identify the requirements of a particular job. (See section 12.2)

A document that specifies what tasks are to be performed in a particular position, as well as the knowledge, skills, education and training, credentials, prior experience, physical abilities, and other characteristics that are required. (See section 12.2)

A standardized system where employees receive financial rewards based on their position title. (See section 12.5.2)

Opportunities to get paid by an organization in return for doing work that produces goods and services.

An organization that represents workers and negotiates with their employers (and in some countries, with the government) on the workers’ behalf.

Organization that are low on both sustainability and restorativeness.

The process of influencing others so that their work efforts lead to the achievement of organizational goals.

The capacity of someone to influence other people by virtue of one’s position in an organization’s hierarchy of authority.

New organizations’ greater chance of failing compared to older organizations in the same industry or situation.

Small organizations’ greater chance of failing compared to larger organizations in the same industry or situation.

Areas where there could be ecological benefits and financial savings in the overall process of how an organization sources raw materials, transforms them into new products, sells them to customers, and how they are used, maintained, and disposed of by consumers.

The formal power to direct and control immediate subordinates.

Enough money to pay for the basic amenities of life, including adequate housing, food, clothing, education, and healthcare.

The enhanced financial well-being a community gains when it supports locally owned businesses.

People whose diet consists only or principally of locally grown or produced food.

A person’s beliefs about the sources of success and failure.

(a) The process of planning, organizing, leading, and controlling human and other organizational resources toward (b) the effective achievement of organizational goals.

The impersonal laws of supply and demand that dictate what firms can and cannot do.

The negative effect that a new product or service has on an organization’s existing products and services.

Placing a high value on physical possessions, financial well-being, and productivity.

When an organization has both divisional and functional departments, and members are simultaneously assigned to both.

An activity that enhances the meaning of life for those doing the work.

Characterized by standardization, narrow specialization, centralization, and functional departmentalization.

A medium’s ability to resolve ambiguity.

A specific idea or general information.

Those who seek to develop successful and viable organizations but not large ones; they do not include size in their definition of success.

When an organization minimizes negative socio-ecological externalities while ensuring that it remains financially viable.

Identifies the fundamental purpose of an organization, and often describes what an organization does, whom it serves, and how it differs from similar organizations.

Individuals who start a viable organization in order to manage it for the rest of their career.

The risk that managers might use the firm’s resources to benefit other interests to the detriment of the owners’ financial gain.

A psychological force that helps to explain what arouses, directs, and maintains human behavior.

Address issues of work content; they include interesting work, autonomy, responsibility, being able to grow and develop on the job, and having a sense of accomplishment.

All living and non-living things that have not been created by human technology or human activity.

Enhancing overall well-being by using money to facilitate the transfer of valued goods in a community-sustaining way.

The removal of an unpleasant consequence following a desired behavior.

Preferential treatment of relatives and friends, especially by giving them jobs for which they are not the most qualified.

The growth in the total goods and services created per the number of hours worked.

When an organization enters fairly stable and complex relationships with a variety of other organizations that provide essential services, including manufacturing and distribution.

Anything that interferes with the transmission of a message.

A non-profit organization whose primary mission is to model and advocate for social, cultural, legal, or environmental change.

Developing and choosing a new way of dealing with a problem or opportunity.

Resources that cannot be easily substituted with other resources.

The absence of any reinforcement, positive or negative, following the occurrence of a behavior.

When someone who knows how to perform a particular task shows and teaches someone else how to do it.

An emphasis on the organization’s place in the larger environment, and how the organization takes inputs from the environment and transforms them into outputs that go into the environment.

Outcomes to be achieved by an organizational department, workgroup, or individual member.

Specifying what activities will be used to meet a goal, when they should be accomplished (in light of existing commitments and constraints), and how the required resources will be acquired.

Used to monitor and coordinate the flow of work between various organizational subunits and their suppliers.

Conditions in the external environment that have the potential to help managers meet or exceed organizational goals.

The process of selecting promising entrepreneurial ideas for further development.

Characterized by little standardization, broad specialization, limited centralization, and divisional departmentalization.

A goal-directed, deliberately structured group of people working together to provide specific goods and services.

A diagram that depicts the reporting relationships and authority structure of the organization.

The process of ensuring that there is a good “fit” between an organization’s structure, culture, environment, technology, and strategy.

A coherent alignment of an organization’s structure, culture, and strategy to fit the prevailing environment and technology.

The substantive modification of some aspect of an organization.

Going above and beyond normal, required practices in order to serve organizational stakeholders.

A motivational force that binds a person to a particular organization.

When one member or unit challenges another.

The set of shared values and norms that influence how members perceive and interact with each other and with other stakeholders.

All the actors, forces, and conditions outside the organization.

The tendency for organizations to take on qualities that reflect conditions when they were founded and to continue displaying those qualities after the founding stage.

How organizations, as they grow in age and size, move in a predictable progression from one generic organizational design type to another.

The informal rules that guide social and task behavior in a group.

The foundational beliefs that members hold about the goals of the organization and how those goals should be achieved.

Using contracts to transfer some of an organization’s recurring internal activities and decision-making rights to outsiders.

Mutual decision-making that gives stakeholders a voice in how the organization is managed and how jobs are performed.

When two or more entrepreneurs own and operate the firm and are responsible for all of its debts.

A system where employees’ compensation is based on activities and outputs of individual employees, and/or their workgroup, and/or the entire organization.

Specifies, assesses, and provides feedback to jobholders regarding what they are expected to do.

HRM processes designed to ensure that individual and team activities and outputs are aligned with the organization’s strategic goals.

Metrics used to determine how well a particular employee, department, or organization is doing its work.

Remaining committed to a course of action despite obstacles.

An organization that has a low market share in a low growth industry.

An organizational approach characterized by having ownership, productive activities, and resources located in a specific geographic location.

The steps and actions that are required to achieve goals.

Guidelines for making decisions and taking action in various situations.> provide guidelines for making decisions and taking action in various situations.

Negotiations about which means and ends to pursue, identifying costs and benefits associated with various options, with the final choice often reflecting a compromise that partially satisfies the competing interests of those involved.

The prevailing philosophy and objectives of the various levels of government, as well as their ongoing laws and regulations.

When managers enter another country recognizing that the best way to manage involves attending to and adapting practices and customs from the host country.

The administration of a pleasant and rewarding consequence following a desired behavior.

The potential that one person has to influence and control someone else’s behavior or to change the course of events.

A combination of critical reflection and practical action that facilitates positive change.

A principle that states that before anyone undertakes on action that has a reasonable risk of harming others or the environment, that person must demonstrate that the action is not harmful.

A culture that tends to place greater value on stability and control.

Change that is designed and implemented in an orderly and timely fashion.

An approach that emphasizes that strategy formulation and implementation are ongoing and iterative, where one aspect influences the other.

A response to an organizational problem or opportunity chosen from a set of standard alternatives.

The response to an organizational problem or opportunity is chosen from a set of standard alternatives.

Tends to have a differentiator or transformer strategy, a pioneer structure and adhocracy culture, a prolific environment, and a non-routine technology.

An unwritten expectation related to the exchanges between an employee and the organization.

The application of an unpleasant consequence after an undesirable behavior has occurred.

An organization that has a low market share but operates in a rapidly growing industry.

Restrictions on the quantity of specific goods or services that can be imported (or exported).

Negotiations among decision-makers about which means and ends to pursue, and then making a choice even though decision-makers are unable to determine the costs and benefits associated with possible options.

Resources that few other organizations have.

Change that makes ad hoc or piece-meal responses to unanticipated events or crises as they occur.

Provides job applicants with information regarding both the positive and negative aspects of a position they are applying for.

The process of identifying and attracting people with the KSAOs an organization needs.

The ability to influence the behavior of others on account of their loyalty to or desire to imitate or identify with the power holder.

An explanation of how to motivate employees to change their on-the-job behavior through the appropriate use of rewards and punishments.

Expanding an organization’s activity into industries that are related to its current activities.

Capitalism that is characterized by an emphasis on relational contracts, the long-term reputation and financial performance of an organization, employee rights, satisfying the needs of many different stakeholder groups, and investment in developing the skills of employees.

Showing concern and respect for group members, being friendly and approachable, treating other members as equals, and being open to their input.

Assets, capabilities, processes, attributes, and information that are controlled by an organization and that enable it to formulate and implement a strategy. It is helpful for managers to look at three different types of internal resources: physical, human, and intangible.

The obligation or duty of members to perform assigned tasks.

The ability to influence the behavior of others by giving or withholding positive benefits or rewards.

Risk is evident when decision-makers have at least some knowledge about the likelihood of the different possible outcomes that might occur if they choose to implement a particular alternative, and the pay-offs associated with each outcome.

Prescribed patterns of behavior that guide work tasks.

Evident when decision-makers do not attempt to develop an optimal solution to a problem, but rather collect enough information and develop enough alternatives until they feel they are able to choose one that provides an adequate solution.

Where clear lines of authority extend from the top to the bottom of an organization’s hierarchy and include every employee.

A management approach that focuses on determining the best way to carry out specific jobs via designing the optimal process for performing a job, selecting people with the required abilities, training them to improve their efficiency, and developing reward systems that will optimize productivity.

Learned guidelines or procedures that help people interpret and respond to what is happening around them.

Transferring one’s ownership to new owners with the intent of facilitating further socio-ecological well-being.

The process of choosing whom to hire among a pool of recruited job applicants.

The ability of a selection method or tool to consistently provide accurate assessments.

The relationship between the scores applicants receive during assessment and their subsequent job performance.

The confidence and belief that one can accomplish a task successfully.

To shape and control people’s actions by channeling behavior in a scripted direction rather than in alternative (possibly more positive) directions.

When words have different meanings for different people.

Members’ active awareness of how their work fits with that of co-workers and others, with an eye toward improving practices via experiments that take advantage of opportunities or address needs.

Individuals who start many organizations.

Everyone in the total available market (TAM) who is likely to actually use the product or service.

An approach that emphasizes enhancing social and ecological well-being while maintaining financial viability.

Tends to have a focus strategy, a familial structure and clan culture, a harsh environment, and a craft technology.

Asking applicants to respond to a specific scenario that is likely to arise on the job in the future.

The attachment and attraction of team members to one another.

When something is perceived to be an objective reality and people allow it to shape their thinking and actions, even though its meaning has been subjectively created by humans and must be constantly recreated by humans in order to continue to exist.

Entrepreneurial organizations created intentionally and specifically to pursue a social or environmental well-being mission.

Abilities in getting along with people, leadership, helping others to be motivated, communication, and conflict resolution.

Investment decisions that seek to maximize “financial returns via strategically reducing negative social and ecological externalities.”

A business that is owned and operated by one entrepreneur who is responsible for all of its debts.

The number of members that report directly to a given manager.

Selecting subsets of standardized organizational tasks and allocating them to separate jobs.

The formal power to advise and provide technical support for others but not to tell them what to do.

The HRM process of identifying, attracting, hiring, and retaining people with the necessary KSAOs to fulfill the responsibilities of current and future jobs in the organization.

A description of the organizational resources a new start-up has (and needs) to manage the key forces in its industry, and the key relationships it needs to establish and maintain.

Parties that have an interest in what an organization does because they contribute resources to the organization and/or are affected by its operations.

Specific steps that must be taken when performing recurring tasks.

Developing uniform practices for organizational members to follow in doing their jobs.

Operational plans for activities that are performed repeatedly.

Enjoys a high market share in a rapidly growing industry.

Pooling organizational resources and know-how to share the risks and rewards for developing a market.

Has its own mission statement, industry, products and services, business-level strategy, and financial statements.

Using insights from an organization’s actual strategy to improve its intended strategy.

The analysis and decisions that are necessary to formulate and implement strategy.

The combination of goals, plans, and actions that are designed to accomplish an organization’s mission.

Valuable or unique resources that an organization has or any activities that it does particularly well.

Direct or indirect payments to domestic businesses that help them compete with foreign companies.

Products or services that are similar or that meet the same needs of a customer but come from a different industry.

Identifying and grooming talented employees who have the potential of doing well in jobs of increased responsibility within the organization.

How much influence suppliers have over an organization.

An organization that minimizes negative externalities (high sustainable development) and enhances positive externalities (high restorativeness).

Meeting the needs of the present generation without compromising the ability of future generations to meet their needs.

Investment decisions that “seek to optimize social and ecological well-being without a need to maximize financial returns.”

Managing property and wealth to increase the long-term overall well-being for owners, members, and other stakeholders (well-being focus).

When the performance gain that results from two or more units working together—such as two or more organizations, departments, or people—is greater than the simple sum of their individual contributions.

Information or other insight that people have that is difficult to codify or articulate.

Everyone in the served available market (SAM) that the organization will intentionally try to make into a customer or client in the near future.

Taxes on goods or services entering a country.

Team members’ attachment and shared commitment to the group’s purpose and the means for achieving it.

Teams that disband when their work has been completed, with members “floating” from one task force to the next as the need arises.

The degree to which the actions and outputs of one task influence, and are influenced by, the actions and outputs of another.

Designing, implementing, and explaining organizational structures and systems that enable and motivate members to perform their tasks.

When an organization has lower financial costs than its rivals, thanks to reductions in its ecological and/or social negative externalities, thereby contributing to its financial well-being.

When an organization offers products or services with socio-ecological benefits that cost less for it to provide than the extra price that customers are willing to pay for them.

Enhancing an organization’s financial well-being while simultaneously reducing its negative socio-ecological externalities.

A collection of three or more people who share task-oriented goals, work toward those goals interdependently, and are accountable to one another to achieve those goals.

Expertise in a particular area like marketing, accounting, finance, or human resources.

The combination of equipment (e.g., computers, machinery, tools) and skills (e.g., techniques, knowledge, processes) that are used to acquire, design, produce, and distribute goods and services.

The assumption that people are inherently lazy, dislike work, will avoid working hard unless forced to do so, and prefer to be directed rather than accept responsibility for getting their work done.

The assumption that work is as natural as play, that people are inherently motivated to work, and that people will feel unfulfilled if they do not have the opportunity to work and thereby make a contribution to society.

The extent to which conditions make it easy for other organizations to enter or compete in a particular industry.

Where people who face a crisis, whether as individuals or in groups, tend to revert to familiar patterns of behavior that they perceive to have been successful in the past.

Conditions in the external environment that have the potential to prevent managers from meeting organizational goals.

Precisely measuring how long it takes to perform a task in different ways, and using these data to identify the best way to do a task.

Everyone who could potentially benefit from the product or service.

How managers can continuously improve organizational work systems so that products and services better meet the quality desired by customers.

Learning activities that improve a jobholder’s skills or performance.

Personal characteristics that are relatively stable.

Expenses that do not contribute directly to producing an organizational output, but exist only to reduce threats from opportunism and uncertainty.

Systems used to record customer orders, track purchases from suppliers, and so on.

When an organization shifts from one type of organizational design to another.

When an organization creates positive externalities, often by adding value to resources that were previously underappreciated or wasted.

Involves listing possible incremental options to choose from, attempting to determine the costs and benefits associated with each, and then choosing the option that offers the greatest opportunity for improvement with the lowest chance of making a mistake.

The rate at which employees leave an organization and are replaced.

Uncertainty exists when managers do not know what outcomes are associated with each alternative they are choosing among, do not know the possible payoffs associated with each possible outcome for each alternative, and do not know the probability or likelihood that each pay-off will occur.

Where each employee reports to only one superior.

Maximizing financial well-being by using money to make money.

When an organization grows by investing in or establishing SBUs in an industry unrelated to its current activity.

The value an individual attaches to an outcome.

Resources that managers can use to neutralize threats or to exploit opportunities to meet their organization’s mission in light of conditions in the external environment.

Acquiring part of the financial benefits associated with the value being created.

The sequence of activities needed to convert an organization’s inputs into outputs.

Offering goods and services that are valued by society.

A statement of why a customer should choose the organization’s specific product or service.

Companies or individuals that invest money in an organization in exchange for a share of the ownership and profits.

When an organization produces its own inputs (upward integration) or sells its own outputs (downward integration).

Where work is done by people who come and go on an as-needed basis and who are networked together with an information technology architecture that enables them to synchronize their activities.

Focuses on how happiness is achieved by practicing virtues in community.

Describes what an organization is striving to become and thus provides guidance to organizational members.

A lack of specific resources or abilities that an organization needs in order for it to do well.