Management and Organizational Studies 1023A/B Lecture Notes - Lecture 6: Chief Executive Officer, Opportunity Cost, May Report

• School: Western University
• Department: Management and Organizational Studies
• Course: Management and Organizational Studies 1023A/B
• Professor: Maria Ferraro

Document Summary

Help decision makers measure the costs and benefits of decision options. Two classes of decision makers: outside firm. Types of decisions: whether to invest in firm, lend money, calculate taxes owed. Information needs: differ across users, not cost effective to procedure specific information, confidentiality issues. Solution: comprehensive reports (financial statements, defined rules (gaap) with guidelines by organizations such as ias or acsb. Public has to be annually and quarterly: statements issued at regular intervals. Type of decisions: whether to run promotion, what to purchase, who to hire. Need specific data for the smaller decisions. Might need both financial and non-financial data. Solution: decision specific data produced, no pre-set rules for how to process, produced as needed. Managers need info to perform each of these functions: control, decision making, directing and motivating, planning, strategy formulation. Ceo"s more on management , decision making. Middle: focus on input, directing motivating and control. Senior manager set vision statement: can be like logo.