Chapter 6 Summary
Running Head: Chapter Summary
Chapter 6 Summary
Principles of Management
Mayville State University
Jamal Branco
October 14, 2014
Author Note:
Chapter 3 Summary is being submitted to Professor Robert Johnston on October 14, 2014 by Jamal Branco as part of his studies in Principles of Management at Mayville State University
2 Hours
Three Types of Uncertainty
For a long time environmental uncertainty has been a catch all term among managers and researchers but as time went on researchers discovered that there are three types of uncertainty.
1. State Uncertainty- occurs when the environment, or a portion of the environment, is considered unpredictable.
2. Effects Uncertainty- impacts of environmental changes are unpredictable. For example a manager attempts to predict the effects of specific environmental changes or events.
3. Response Uncertainty- Consequences of decisions are unpredictable. For example not knowing the consequences to a change you make with your company financially.
How Individuals Handle Uncertainty
How you deal with uncertainty whether it is from a manager aspect or and employee, it has become an important dimension of human diversity when individuals gather in organization to make plans and accomplish something together.
Organizational Responses to Uncertainty
There are four ways a company or individual will react when uncertainty comes into play
Defenders:
Highly expert at producing and marketing a few products in a narrowly defined market.
Opportunities beyond present market sought
Few adjustments in technology, organization structure, and methods of operation because of narrow focus.
Primary attention devoted to efficiency of current operations.
For example Harley Davidson takes a risk on the daily by possibly having their narrow focus miss the mark in an aging America.
Prospectors:
Primary attention devoted to searching for new market opportunities.
Frequent development and testing of new products and services
Source of change and
Chapter 6 Summary
Principles of Management
Mayville State University
Jamal Branco
October 14, 2014
Author Note:
Chapter 3 Summary is being submitted to Professor Robert Johnston on October 14, 2014 by Jamal Branco as part of his studies in Principles of Management at Mayville State University
2 Hours
Three Types of Uncertainty
For a long time environmental uncertainty has been a catch all term among managers and researchers but as time went on researchers discovered that there are three types of uncertainty.
1. State Uncertainty- occurs when the environment, or a portion of the environment, is considered unpredictable.
2. Effects Uncertainty- impacts of environmental changes are unpredictable. For example a manager attempts to predict the effects of specific environmental changes or events.
3. Response Uncertainty- Consequences of decisions are unpredictable. For example not knowing the consequences to a change you make with your company financially.
How Individuals Handle Uncertainty
How you deal with uncertainty whether it is from a manager aspect or and employee, it has become an important dimension of human diversity when individuals gather in organization to make plans and accomplish something together.
Organizational Responses to Uncertainty
There are four ways a company or individual will react when uncertainty comes into play
Defenders:
Highly expert at producing and marketing a few products in a narrowly defined market.
Opportunities beyond present market sought
Few adjustments in technology, organization structure, and methods of operation because of narrow focus.
Primary attention devoted to efficiency of current operations.
For example Harley Davidson takes a risk on the daily by possibly having their narrow focus miss the mark in an aging America.
Prospectors:
Primary attention devoted to searching for new market opportunities.
Frequent development and testing of new products and services
Source of change and