- ••Management
- •Topic 1.
- •Organization
- •“Management is the process of designing and maintaining an environment in which individuals
- •Definition
- •Importance of Management
- •Contd.
- •What do Managers Do? The Management Process
- •MANAGERS
- ••first-line managers include department head, team leader, and unit manager. For example, the
- ••Job titles such as chief executive officer (CEO), chief operating officer (COO), chief
- •A chief executive officer (CEO) is the highest-ranking executive in a company, whose
- •In both business and the public sector, board members are supposed to oversee
- •Accountability Is a Foundation of Managerial Performance. The term accountability describes the requirement
- •Effective Managers Help Others Achieve High Performance and Satisfaction. An effective manager helps
- •Are you willing to work anywhere other than in a high-QWL setting? Would
- •Managers Are Coaches, Coordinators, and Supporters. We live and work in a time
- •If we turn the traditional organizational pyramid upside down, we get a valuable
- •Terms to Define: Accountability Board of directors Effective manager First- line managers
- •Questions for Discussion 1. Other than at work, in what situations do you
- •What Do Managers Do, and What Skills?
- •Topic 2. The Five Functions of Management by Fayol's
- •What Four Functions Make Up the Management Process? Contemporary theory
- •The management process is planning, organizing, leading, and controlling the use of resources
- •Organizing is the process of assigning tasks, allocating resources, and coordinating work activities.
- •Organizing. Even the best plans will fail without strong implementation. Success begins with
- •Leading .The management function of leading is the process of arousing people’s enthusiasm
- •Controlling is the process of measuring work performance, comparing results to objectives, and
- •Managers Perform Informational,
- •Agenda Setting Agendas are important in management, and it is through agenda setting
- •Managers engage in networking to build and maintain positive relationships with other people,
- •A technical skill is the ability to use a special proficiency or expertise
- •The ability to work well with others is a human skill, and a
- •Conceptual Skill The ability to think critically and analytically is a conceptual skill.
- •Conceptual skills are important for all managers but gain in relative importance as
- •Lifelong learning is continuous learning from daily experiences. Learning agility is the
- •Rapid Review • The daily work of managers is often intense and stressful,
- •Globalization is the worldwide interdependence of resource flows, product markets, and business competition.
- •Failures of Ethics and Corporate Governance are Troublesome.
- •Workforce diversity describes differences among workers in gender, race, age, ethnicity, religion, sexual
- •personal career readiness—the combination of skills, competencies, aspirations, and goals that can move
- •Rapid Review • Globalization has brought increased use of global outsourcing by businesses
- •Intellectual capital is the collective brainpower or shared knowledge of a workforce.
- •Taylor’s scientific management sought efficiency in job performance. • Weber’s bureaucratic organization is
- •Taylor noticed that many workers did their jobs in their own ways—perhaps haphazardly
- •Taylor’s approach to scientific management can be summarized in these four core principles
- •The scalar chain principle states that organizations should operate with clear and unbroken
- •Rapid Review • Taylor’s principles of scientific management focused on the need to
- ••Follett viewed organizations as communities of cooperative action.
- •Follett suggested that making every employee an owner in the business would create
- •The Hawthorne Studies Focused Attention on the Human Side of Organizations.
- •Maslow Described a Hierarchy of Human Needs with Self-Actualization at the Top. The
- •Maslow’s progression principle is that a need at any level becomes activated only
- •Maslow’s work, along with the Hawthorne studies, surely influenced another prominent management theorist,
- •Theory X assumes people dislike work, lack ambition, are irresponsible, and prefer to
- •Argyris Suggests That Workers Treated As Adults Will Be More Productive. Ideas set
- •Argyris clearly believes that when problems such as employee absenteeism, turnover, apathy, alienation,
- •Rapid Review • Follett’s ideas on groups, human cooperation, and organizations that served
- •• Managers use quantitative analysis and tools to solve complex problems. • Organizations
- •In our world of vast computing power and the easy collection and storage
- •Analytics is the systematic use and analysis of data to solve problems and
- •Problem: A big box retailer is trying to deal with pressures on profit
- •Operations management is the study of how organizations produce goods and services.
- •An open system transforms resource inputs from the environment into product outputs.
- •Contingency thinking tries to match management practices with situational demands.
- •Quality Management Focuses
- •Any research following the scientific method will display the following characteristics:
- •Rapid Review • Advanced quantitative techniques in decision sciences and operations management help
- •Learn About Yourself
- •Ethics and Social Responsibility
- •• Ethical behavior is values driven. • Views diff er on what constitutes
- •Consider this situation. About 10% of an MBA class at Duke University were
- •Terminal values focus on desired ends or what someone wants to achieve, such
- •Views Differ on What Constitutes Moral Behavior
- •Utilitarian View A business owner decides to cut 30% of a small firm’s
- •Justice View A behavior is ethical under the justice view of moral reasoning
- •Interactional justice focuses on treating everyone with dignity and respect. For example, does
- •The moral rights view considers behavior to be ethical when it respects and
- •Cultural relativism suggests there is no one right way to behave; cultural context
- •Ethical imperialism is an attempt to impose one’s ethical standards on other cultures.
- •I define an unethical situation as one in which I have to do
- •People Have a Tendency to Rationalize Unethical Behavior.
- •“It’s not really illegal.” Wrong—this implies that the behavior is acceptable even in
- •Ethical frameworks are wellthought-out personal rules and strategies for ethical decision making.
- •Rapid Review • Ethical behavior is that which is accepted as “good” or
- •An immoral manager chooses to behave unethically. An amoral manager fails to consider
- •Ethics training seeks to help people understand the ethical aspects of decision making
- •Discrimination—“Factories shall employ workers on the basis of their ability to do the
- •Rapid Review • Ethical behavior is influenced by an individual’s character and represented
- •The way organizations behave in relationship with their many stakeholders is a good
- •Perspectives Differ on the Importance of Corporate Social Responsibility.
- •Shared value approaches business decisions with understanding that economic gains and social progress
- •Rapid Review • Corporate social responsibility is the obligation of an organization to
- •Concepts of Leader and Manager
- •Comparison bet. Leadership and Management
- •Comparison bet. Administration & Management
- •Administration Versus Management
- •Contd.
- •Productivity Orientation
- •Human Relation Orientation
- •Process Orientation
- •Decision-Making Orientation
- •Contd.
- •Systems Approach
- •Contd.
- •System approach
- •Function of Management
- •Planning
- •Contd.
- •Contd.
- •Contd.
- •Organizing
- •Organizing involves:
- •Contd.
- •Leading
- •Contd.
- •Controlling
- •Principles of management that will apply in different situations
- •“Management by Objectives”
- •Contd.
- •“Division of Labor”
- •Contd.
- •“Coordination of Activities” or “Convergence of work”
- •“Substitute of Resources”
- •“Functions Determine Structure”
- •“Delegation of Authority”
- •Contd.
- •Contd.
- •“Management by Exception”
- •General Principles of Management-
- •Division of work: This is the specialization that economists consider necessary for efficiency
- ••Subordination of individual to general interest: This is self explanatory when the two
- •Initiative: Initiative is conceived of as the thinking out and execution of a
- •The Environment
- •Decision making/Problem Solving Steps
- •Six Criteria to Systematically Evaluate Ideas
- •The Overall Planning Process
- •Strategic Goals
- •How Goals Facilitate Performance
- •Plans According to Extent of Recurring Use
- •The Strategic Management Process
- •The functional structure of organization
- •Matrix organisation structure
- •Tall organisational structure with seven
- •Flat organisation with three(3) levels
- •Methods of Horizontal Co-ordination
- •Horizontal coordination methods for increasing information-processing capacity
- •Formal and informal groups in an organisation
- •The Control Process
- •Steps in the control process
- •Four levers of strategic control
- •Thank You
Taylor’s approach to scientific management can be summarized in these four core principles
Develop a “science” for each job—rules of motion, standard work tools, and proper work conditions. • Hire workers with the right abilities for the job. • Train and motivate workers to do their jobs according to the science. • Support workers by planning and assisting their work according to the science.
Weber’s Bureaucratic Organization Is Supposed to Be Eff icient and Fair. A bureaucracy is a rational and efficient form of organization founded on logic, order, and legitimate authority.
The scalar chain principle states that organizations should operate with clear and unbroken lines of communication from top to bottom. The unity of command principle states that a worker should receive orders from only one boss
Fayol’s Administrative Principles Describe Managerial Duties and
Practices
Foresight—complete a plan of action for the future. • Organization—provide and mobilize resources to implement plan. • Command— lead, select, and evaluate workers. • Coordination—fit diverse efforts together, ensure information is shared and problems are solved. • Control—make sure things happen according to plan, take necessary corrective action.
Rapid Review • Taylor’s principles of scientific management focused on the need to carefully select, train, support, and reward workers in their jobs.
•Weber considered bureaucracy, with its clear hierarchy, formal rules, well-defined jobs, and competency-based staff ing, to be a form of organization that is eff icient and fair.
•Fayol suggested that managers learn and fulfill duties we now call the management functions of planning, organizing, leading, and controlling.
•Follett viewed organizations as communities of cooperative action.
•The Hawthorne studies focused attention on the human side of organizations.
•Maslow described a hierarchy of human needs with self-actualization at the top. •McGregor believed managerial assumptions create self-fulfilling prophecies.
•Argyris suggests that workers treated as adults will be more productive.
Follett suggested that making every employee an owner in the business would create feelings of collective responsibility. Today, we address the same issues as “employee ownership,” “profit sharing,” and “gain-sharing plans.” Follett believed that business problems involve a wide variety of factors that must be considered in relationship to one another. Today, we talk about “systems” when describing the same phenomenon. Follett viewed businesses as services, organizations that should always consider making profits vis-à-vis the public good. Today, we pursue the same issues as “managerial ethics” and “corporate social responsibility.”
The Hawthorne Studies Focused Attention on the Human Side of Organizations.
In 1924, the Western Electric Company commissioned a study of individual productivity at the Hawthorne Works of the firm’s Chicago plant.15 These “Hawthorne studies,” with a research team headed by Elton Mayo of Harvard University, sought to determine how economic incentives and physical conditions of the workplace aff ected the output of workers. But their results were perplexing because of the appearance of unforeseen “psychological factors.” Aft er isolating six relay assembly workers in a special room, Mayo and his team measured the eff ect on outputs of various rest pauses and lengths of workdays and workweeks.
Productivity increased regardless of the changes made. The researchers concluded that in the new “social setting” of the test room, the workers tried to do what they thought the researchers wanted them to do—a good job. This tendency to try to live up to expectations became known as the Hawthorne eff ect. Have you noticed that people given special attention will tend to perform as expected? Could the Hawthorne eff ect explain why some students, perhaps you, do better in smaller classes or for instructors who pay more attention to them in class?
Maslow Described a Hierarchy of Human Needs with Self-Actualization at the Top. The work of psychologist Abraham Maslow in the area of human needs emerged as a key component of the new direction in management thinking. He began with the notion of the human need, a physiological or psychological deficiency that a person feels compelled to satisfy. Why, you might ask, is this a significant concept for managers? The answer is because needs create tensions that can influence a person’s work attitudes and behaviors. They are grouped as lower-order needs—physiological, safety, and social —and higher-order needs—esteem and self-actualization.