Final answer:
The role in which managers decide who receives what supplies and in what amounts is called the resource allocator. This role is framed by the concept of scarcity where wants exceed available resources, and is crucial in a market economy where consumer demand and price guide allocation decisions.
Step-by-step explanation:
The role you’re referring to is commonly known as the resource allocator. Managers in this decisional role determine the allocation of resources within an organization, including who gets what supplies and in what amounts. This is a fundamental aspect of management as it involves making choices that can significantly impact a business’ productivity and efficiency.
Resource allocation is influenced by the concept of scarcity, which is a key notion in economics. Scarcity refers to the basic economic problem that arises because resources are limited while human wants are virtually limitless. Therefore, both individuals and businesses must make decisions on how to best use their limited resources, which involves trade-offs where the benefits of one choice must be weighed against the costs of another.
To ensure the most beneficial utilization of resources, managers may consider various factors, including the cost of goods, projected returns, and overall strategic goals. In a market economy, these decisions are often dictated by consumer demand and the prices individuals are willing to pay. Thus, managers act within the constraints of both internal corporate needs and external market forces when they perform their resource allocator role.
Ultimately, the "for whom" question is complex and can depend on multiple factors, such as productivity, technology, and societal values, which influence how goods and services are distributed throughout the economy. Managers as resource allocators must navigate these factors and use sound judgment to make the best economic decisions possible for their organizations.