32 terms
Objectives
Specific, measurable targets to be achieved.
Making financial decisions: sources of finance
Obsolescence
Products becoming out-of-date/unusable before sale.
Analysing financial performance
Off-the-Job Training
Training that takes place away from the normal work environment, in a dedicated training centre, college, or external ve...
Making human resource decisions: improving organisational design and managing the human resource flow
Offer for Sale
Public method of selling company shares on stock exchange.
Understanding different business forms
Offshoring
Relocating business functions or production to another country to take advantage of lower costs, favourable regulations,...
Making marketing decisions: using the marketing mix
Offshoring and Reshoring
Offshoring moves business activities to lower-cost countries abroad; reshoring brings them back to the home country.
Assessing globalisation and internationalisation
Oligopoly
Market dominated by few large suppliers.
On-the-Job Training
Training that takes place while the employee is performing their normal work duties, typically under the guidance of a m...
online business
A business that primarily operates via the internet, selling products or services online rather than through physical pr...
Analysing the external environment to assess opportunities and threats: social and technological
Online Distribution
Selling and delivering products via internet/e-commerce.
Understanding markets and customers
Online Retailing
Selling products to consumers via internet/e-commerce platforms rather than physical stores.
Setting marketing objectives
operating profit
Profit from normal business operations (excluding interest/tax).
Setting financial objectives
Operating Profit Margin
Operating profit as percentage of revenue.
Operational Efficiency
Achieving goals with minimum resources; effectiveness of operations.
operational objective
Short-term target for daily/weekly operations.
Setting operational objectives
Operations
Day-to-day activities transforming inputs to outputs.
Operations Management
Directing resources to produce goods/services efficiently.
Opportunity
Favorable situation offering potential benefit/growth.
opportunity cost
Benefit foregone by choosing one option over another.
Understanding management decision making
Optimism (Entrepreneurial)
Tendency to expect positive outcomes; characteristic of entrepreneurs.
Understanding the nature and purpose of business
Optimization
Making something as effective/efficient as possible.
organic growth
Growth achieved by a business from within, through increasing sales, expanding capacity, or developing new products using its own resources.
Assessing a change in scale
Organisational Change
Any significant alteration to the structure, culture, processes, systems, or strategy of an organisation.
Organization Structure
Formal arrangement of positions, reporting relationships, authority.
Organizational Culture
(already covered - see 3.4).
outsourcing
(already covered - see 1.4).
Making operational decisions to improve performance: managing inventory and supply chains
Over-Capacity
Production capacity exceeding market demand.
Analysing operational performance
overdraft
Arrangement allowing account to go negative to agreed limit.
Overhead
Indirect production costs not directly tied to product: factory rent, utilities, depreciation, supervision.
Overseas Market
Market in different country from home base.
overtrading
When a business expands faster than its financial resources can support, leading to cash flow problems despite being profitable.
Owner's Capital
Money invested by owner/shareholders in business.