Key Business Management Definitions and Concepts
Core Organizational Concepts
Mission Statement
A Mission is a short statement identifying the purpose of an organization. It includes the scope of its operations, products or services, its primary customers or market, and its geographical region.
Vision Statement
A Vision is an aspirational description of what an organization would like to achieve or accomplish in the mid-term or long-term future.
Evaluation Phases
Evaluation can occur in different phases:
- Ex-ante (Previous): Conducted before an initiative to assess its feasibility and potential impacts.
- Intermediate: Conducted during an initiative to monitor progress and make necessary adjustments.
- Ex-post: Conducted after an initiative to assess its overall effectiveness and impact.
Knowledge Management
Knowledge Management is a function that plans, coordinates, and controls knowledge flows. It differs from other models by implying a growing awareness of the link between knowledge, wealth creation, and brand value. Knowledge captured often comes from outside an organization and is explicit.
EFUS Local Audit
The EFUS (European Forum for Urban Security) Local Audit consists of an evaluation that is planned, structured, and documented.
Marketing Actions: Segmentation, Benchmarking, Targeting
Key actions include: Segmentation (dividing the market), Benchmarking (comparing against competitors or standards), and Targeting (selecting specific segments to focus on).
SWOT Analysis
SWOT analysis identifies:
- Strengths (Internal)
- Weaknesses (Internal)
- Opportunities (External)
- Threats (External)
Structural Capital
Structural Capital includes both tangible and intangible assets of an organization.
RAMIO 3 Analysis
RAMIO 3 considers socio-cultural and political factors, scope of control, and improvement potential.
PLATECA Emergency Plan
PLATECA refers to a territorial plan for emergencies.
Organizational Culture (Schein)
Organizational Culture, according to Schein, is a set of values, needs, and assumptions shared by a community of people.
Theories of Organization
Major theories of organization include:
- Classic
- Neoclassical
- Contemporary
Quality and Performance Management
ISO 14000: Environmental Management
ISO 14000 is a family of standards related to environmental management.
SERVQUAL Service Quality Dimensions
SERVQUAL measures service quality based on five dimensions:
- Reliability
- Tangibles
- Responsiveness
- Security (Assurance)
- Empathy
Deming Cycle (PDCA)
The Deming Cycle involves four stages for continuous improvement:
- Plan
- Do
- Check
- Act
Internal Audit Function
An Internal Audit is an independent control function established as a service within an organization to examine and evaluate its activities.
EFQM Model Criteria
The EFQM (European Foundation for Quality Management) Model is based on 9 criteria:
- Leadership
- Policy & Strategy
- People
- Partnerships & Resources
- Processes, Products & Services
- People Results
- Customer Results
- Society Results
- Business Results
ISO 9001:2015 Quality Management
ISO 9001:2015 is a tool that, when properly managed, increases the chances of organizational success.
System of Indicators Requirements
Basic requirements for a system of indicators include being:
- Constant
- Complied with
- Monitored
Evaluation of Programs or Policies
Evaluation of a product, program, action, or public policy considers factors such as the costs of the entire initiative and its results.
SMART Criteria
SMART Criteria (often linked to setting objectives involving percentages and timeframes) typically stand for Specific, Measurable, Achievable, Relevant, and Time-bound.
Kaizen: Continuous Improvement
Kaizen is the Japanese concept for continuous improvement in quality.
Impact Evaluation
Impact Evaluation allows an organization to know if the objectives of a program were met, beyond its specific results.
Operation or Management Audit
An Operation or Management Audit evaluates the returns (performance/efficiency) of the organization, program, or public policy, facilitating accountability.
Strategic Management and Assets
Matrix of Priorities
A Matrix of Priorities graphically represents proposals, actions, or information, specifying high or low levels of difficulty in their implementation.
Declaration of Knowledge Policy
A formal Declaration of Knowledge Policy may be considered unnecessary, but it is positive to value the interest in knowledge management.
Strategic Marketing Function
The most relevant function of Strategic Marketing is to analyze the needs and desires of customers, as well as the strengths and weaknesses of the organization.
Bueno Campos Strategic Direction Phases
The Bueno Campos model of strategic direction involves three phases:
- Strategic Analysis
- Planning and Implementation
- Strategic Control
Brand Identity Systems
A Brand typically involves four basic systems:
- Visual-iconic system
- Name
- Concept
- Coherent attributes
Hawthorne Experiment Finding
The Hawthorne experiment demonstrated that if the social integration of a person (worker) is greater, their productive capacity will likely be greater.
Intellectual Capital
Intellectual Capital consists of four main elements:
- Market Assets
- Intellectual Assets (e.g., patents, copyrights)
- Individual-Focused Assets (Human Capital)
- Infrastructure Assets (e.g., processes, culture)
Intellectual capital can be measured, and tools exist for this purpose.
Example Objective Measurement
An objective like “Increase our customer base by 10% in 2023” requires tracking metrics such as the number of customers per month.