MGMT 371 Exam 1
Focus Strategies
Aims at a cost or differentiation advantage in a particular segment of the market Ex: jitterbug for the older population Ex: doritoes for target market for 19 year old boys
Management defined
The process of getting things done effectively and efficiently through and with other people
Agrarian Age
- Hunter gatherers to crop growers - Settled communities emerge
Conceptual Age
- Information power to interpretive power - Sense making is new battleground
Information age
- Machine power to digital power - Information is ubiquitous
Industrial age
- Muscle power to machine power - Productivity rises exponentially
Transformational vs transactional leadership
- Transactional: Guide followers by clarifying task and goal requirements - Transformational: Inspire their followers to transcend their self-interests
Continued definition of leadership
...the process of influencing the activities of an individual or a group in efforts toward goal achievement in a given situation ...a function of knowing yourself, having a vision that is well communicated, building trust among colleagues, and taking effective action to realize your own leadership potential ...the capacity to influence others through inspiration motivated by passion, generated by vision, produced by a conviction, ignited by a purpose ...is a combination of strategy and character
According to Culture 500 study, what were the 9 cultural values
1. Agility/Nimbleness - employees can respond quickly and effectively to changes in marketplace and seize new opportunities 2. Collaboration/teamwork 3. Customer focus 4. Diversity 5. Execution excellence 6. Innovation 7. Integrity 8. Performance driven 9. Respect
What were the four big revolutions?
1. Agricultural 2. Industrialization 3. Information 4. Conceptual
Examples of Organizational Culture
1. Attention to detail 2. Outcome orientation 3. People orientation 4. Team orientation 5. Aggressiveness 6. Stability 7. Innovation and risk taking
Behavioral Theories: University of Iowa
1. Autocratic style Centralize authority and dictate work methods 2. Democratic style - Involves employees in decision making, delegates authority, encourages participation, and used feedback to coach employees - Democratic consultative - Consultative: Seeks input but makes delegates authority, encourages participation, the final decision and used feedback to coach employees - Democratic participative - Participative: Lets employees decide 3. Laissez-faire style Gives employees complete freedom, does not provide feedback nor guidance = Ineffective style even when working with highly talented individuals
Skills of manager level of importance: Top manager
1. Conceptual 2. Human 3. Technical
What are organizational stakeholders
1. Customers 2. Suppliers 3. Competitors 4. Regulators
Op -------> Strategic
1. Decrease level of detail 2. Increased responsibility for long term direction, goal setting and decision making
What is planning?
1. Defining your organization' s purpose and objectives 2. Establishing an overall strategy 3. Developing a set of flexible plans to achieve the strategy
What are the three different types of trust?
1. Deterrence-based trust based on authority and fear of punishment 2. Knowledge-based trust based on history with someone and predictability of his/her behavior 3. Identification-based trust highest level of trust that comes from deep respect and an emotional connection to someone
What do managers do?
1. Develop Strategies 2. Design and Operate Systems to support these strategies 3. Work with People to achieve strategic goals
Three common characteristics of an organization.
1. Distinct Purpose: Typically expressed in terms of goals, mission, vision 2. People or Members: The purpose/goals are achieved through people 3. Systematic Structure: Defines the roles, behaviors, and expectations for the people and members Purpose, people/members, systematic structure
Components of the External Environment
1. General environment 2. Task environment 3. Internal environment
Cost-leadership
Becoming the low-cost producer by pursuing economies of scale, technological innovations, low-cost labor, and/or preferential access to raw materials Ex: H and M, Vanguard
Skills of manager level of importance: Middle Management
1. Human 2. Conceptual 3. Technical
Strategic -----> Operational
1. Increase day-to-day maintenance management and work delivery responsibility 2. Increasing resource needs (more labor?)
Transformational leadership
1. Inspirational Motivation: Communicate high expectations; use symbols and emotional appeals to inspire and focus group efforts on achieving the shared vision and goals of your organization 2. Intellectual Stimulation: Stimulate team members and employees to be creative, curious, and innovative; to challenge their own beliefs and values; continuously learn and evolve 3. Individualized Consideration: Listen to individual needs; provide a supportive environment; act as a coach and mentor; delegate to help others learn and grow personally and professionally 4. Idealized Influence: Act as a strong role model; earn deep respect and trust from others through your actions and values; provide a strong vision and sense of mission
Business Strategy is a result of planning
1. Panning 2. organizing 3. Controlling 4. Leading
What are the three dimensions of corporate culture?
1. Symbolic Reminders : artifacts that are entirely visible 2. Keystone Behaviors : recurring acts that trigger other behaviors and that are both visible and invisible 3. Values and Mindsets : attitudes and beliefs that are widely shared but exclusively invisible
Skills of manager level of importance: First-Line management
1. Technical 2. Human 3. Conceptual
Define Organization
A systematic arrangement of people brought together to accomplish some specific purpose - Can be for-profit or non-profit
Benefits of planning
Coordinated efforts Reduces uncertainty Clarifies consequences of actions Reduces overlapping and wasteful activities Establishes objectives and standards that facilitate control
What situational leadership style? When employees have high achievement motivation
Achievement-oriented
What is organizational culture?
An Organization's Basic Personality - The essence of how its people interact and work - Culture is the self-sustaining pattern of behavior that determines how things are done - Culture impacts employees' performance, job satisfaction, turnover, absenteeism, creativity, and more
Differentiation
Being unique in ways that are valued by the customer through emphasizing quality, extraordinary service, innovative design, technological capability, and/or an unusually positive brand image Ex: Amazon Lush Cosmetics
Top management includes
CEO, corporate or group head, vice president of administration
Great Man and Trait Theories
Characteristics Define Successful Leadership 1. Intelligence Intelligence: Verbal Ability Perceptual Ability Reasoning 2. Confidence Self Confidence: Believing in your competence and skills; Self Esteem; Believing that one can make a difference 3. Sociability Sociability: Seeks Relationships Friendly, Outgoing Courteous, Shows Concern 4. Determination Determination: Initiative Persistence Drive Integrity Integrity: Honesty Loyalty Dependability
__________________ is key to ensuring that a manager creates a culture that will adapt quickly to changes in the task and general environments.
Communication
Situational Leadership style depends on _____ and _______ of the employee?
Competency and motivation
In a university class, Jackie learned that performance-based pay increases individual performance. However, in the medical profession, Jackie has observed that performance-based pay reduces teamwork, which leads to poorer performance. She therefore believes that performance-based pay generally works, but may work differently depending on the context (e.g., whether or not the individual must work in teams or is an individual contributor). This is an example of which of the following?
Contingency Theory
Gary is not the best technician in the department, but he has an excellent understanding of how his work unit functions within the larger context of the organization. He can see how all the parts work and is great at setting plans to make sure his people get their jobs done precisely when the organization requires them to be completed. In this example, Gary is clearly high on which of the following?
Conceptual Skills
Jim is an extremely competent accountant. He is so good at his job, his organization promoted him to manager. Jim has a great sense of humor, works well with almost everyone, and is great at getting his employees on board with what needs to be done. Jim's only limitation is that he has a hard time understanding how his accounting unit relates to the rest of the business. Therefore, it can be hard for him to produce the results his business requires. Clearly, Jim is lacking:
Conceptual skills
3 skills managers need to succeed
Conceptual: ability to analyze the marketplace, opportunities, and build competitive strategies Technical: understanding the job of employees and the key tasks that need to be completed Interpersonal: knowing how to build relationships, communicate, and work well with people Political: being skilled at building and utilizing networks, influencing others, and accomplishing goals within complex business environments
Which of the following is most consistent with a "Contingency View" of management?
Similar situations will require similar responses to problems.
Which of the following is typically not considered a part of the Internal Environment?
Customers
Situational Leadership: People are both able and willing to do what is asked of them.
Delegating (Low task-Low relationship)
Growth Strategy
Direct expansion, new products, quality improvements, increase sales revenues, more employees, greater market share Ex: Uber with Postmates Ex: Zoox + Amazon
What situational leadership style? When employees have external locus of control
Directive
What situational leadership style? When employees have high role ambiguity
Directive
What situational leadership style? When employees have low abilities
Directive
Ray-O-Sunshine manufactures and sells sunglasses. Their sales are good and they are doing well, so by all accounts they have achieved their goals. However, Ray-O-Sunshine does not reuse the plastic that is discarded in the final step of the glasses-making process. They also waste a lot of time assembling the glasses because they do not have the proper tools. Ray-O-hope, on the other hand, recycles discarded plastic and uses it later to make new products. They also assemble the glasses quickly but carefully because they have the correct tools to do so. In this example, Ray-O-Sunshine's performance would best be described as _______________, while Ray-O-Hope's performance would best be described as ________________.
Effective; efficient
What is the difference between efficiency and effectiveness?
Effectiveness: - Degree to which something is successful in producing desired result - Degree of success -Usefulness of a thing -doing right thing -successful results Efficiency - quality or property of being efficient - Optimization - how something is done - doing the thing right - minimum waste, expense or unnecessary effort *know that: - Doing things right = Efficiency - Doing right thing = Effectiveness
Contingency Theories: Path Goal Theory
Focus on match between the leader's behavior and the situation Need to look at employee and task characteristics Directive: tells employees what is expected of them, schedules the work, and gives specific guidance to accomplish task Supportive: friendly and shows concern for the needs of the employees Participative: consults with employees and uses their suggestions before making a decision Achievement-Oriented: sets challenging goals and expects employees to perform at their highest levels According to Path Goal Theory, leaders need to support team members to achieve work goals and have a responsibility to provide them with the necessary information
One of Harry's primary activities in his career as a supervisor at Thomson Bird Food Inc. is working with his middle manager, Ben, to introduce new growth opportunities in the business (such as expanding into exotic bird foods) and help the people who actually manufacture the food. Which of the following job titles does Harry have in this scenario?
Frontline manager
Carrie works for a multinational organization that operates across the globe. Carrie is administering a training program in the organization's remote location in India. This training program requires trainees to access the Internet. This is the same training program that has successfully been used across the world. However, Carrie fails to realize that, because this is a remote part of India, the Internet connection is unreliable. Therefore, she cannot perform the training as planned. The training program ends up being a waste of time for her and the trainees. This is an example of how the ___________ environment affects business.
General
Management Levels
General Manager Senior Manager Manager Project Manager Supervisor
Middle managers include
General manager, product line or service manager, information services manager, production, scales
Leadership defined
Having a significant influence on others Set and Passionately Share Your Vision Inspire and Motivate Action Reward and Appreciate Effort and Success Create a Supportive Culture Having a Significant Influence on Others ... Through being Confident and Comfortable with Who You Are Not only at work but also with Family Friends People in the Community, and in social situations... In all areas of our life
Beth, Gary, and Jean all work for Ray-O-Sunshine. Beth is a first line manager in HR, Gary is a first-line manager in Marketing, and Jean is a first-line manager in Sales. Which of the following best describes the differences between their management roles?
Horizontal differences
Which event had the most influence on management emerging as a field?
Industrialization
Behavioral Theories: Ohio State
Initiating structure - Leader focuses on providing the structure and guidance for their employees to achieve specific goals Consideration - Leader focuses on developing strong relationships with employees based on mutual trust and respect for employees' ideas and feelings
There are some aspects of the environment that managers have little control over. Which of the following environment factors do managers usually have the most control over?
Internal Culture
In a Ted Talk, Catherine Courage described that changing the physical environment within an organization, allowing employees to experiment, and telling stories that convey organizational values are all things that can be done to change which of the following?
Internal Environment
When a manager needs to adapt to a changing environment, the most likely course of action is to change the ____________ environment to more effectively address the changes.
Internal environment
Everyone working for GE knows the name Doug Dietz. Dietz is an employee that, realizing MRI machines scared children, designed the machines to be kid friendly. This is an example of which of the following?
Invisible Corporate Culture
What is a company?
Is an organization, but this term refers only to for-profit institutions
Strategic Planning Process
Know order (1) Identify Organization's Vision, Mission, Goals, and Objectives (2) SWOT Analysis (Strengths, Weaknesses, Opportunities, and Threats) SW (Internal Analysis): Organization's resources OT (External Analysis): Environment; What is the competition doing? Environmental Scanning
Amanda Rowley, President of Autos-R-Us, recognizes the factory employees for their outstanding performance at the monthly awards banquet on the shop floor by presenting a plaque and a check for $100. She is engaging in the management function of _____.
Leading
Stability Strategy
Maintain current strategy if organization is performing, environment is stable, and insignificant opportunities exist Ex: disney english - english classes in China
Difference between management and leadership?
Management: - Authority based on title and position in organization - Authority: The right to make decisions and tell people what to do Leadership: - Power Based on respect and personal influence - Power: Comes from the positive impact you make on others
AirplanesRUs, Inc. is thinking of opening a plant in another country. AirplanesRUs, Inc. has a very hierarchical culture. In the corporation, the boss is in charge and the employees have to address him or her in a certain way. Employees cannot behave with their boss the way they behave with their peers because they have to show the boss much more respect and deference. Based on this description, where would you would advise AirplanesRUs, Inc. to build a new plant?
Mexico
Contingency Theories: Situational Leadership
Need to look at individual's competence and motivation/commitment Directive style Supporting style Coaching style Delegating
Archer Inc. recently embarked on an effort to increase coordination and cooperation within the company. During the process, the managers of the organization reviewed and specified job responsibilities, grouped jobs into work units, and reallocated resources within the company. The managers were exercising the management function of
Organizing
What situational leadership style? When employees have high internal locus of control
Participative (Coaching)
What situational leadership style? When the decision is relevant to employees
Participative (Coaching)
What situational leadership style? When employees have high abilities
Participative (Coaching) or achievement oriented
What are symbolic artifacts?
Physical symbols like basic name tags, marked parking spaces, offices with labels and listed job titles all serve the internal corporate culture and are important symbols in the workplace. In many cases, these basic symbols are used to identify individuals and the positions they hold within the company. Office layout is often use as a symbolic method of reinforcing a desired company culture. An open, collaborative space is symbolic for company values that encourage an open line of communication across all positions. A cubicle and closed office door environment is more symbolic of a system using the chain of command and formal processes.
Synthesis Inc. periodically reviews the goals of the company. During the process, the managers of the company analyze their current strategies as compared to their competitors' strategies, determine goals that they will pursue, and decide upon specific actions for each area of the company to take in pursuit of these goals. With these actions, the managers are engaged in the management function of
Planning
The CEO of MUCK Inc. sets a new strategic direction for his company. He decides that the company will work to design the most innovative and effective tires for mudding. Which function of management do the CEO's actions fall under?
Planning
When senior managers at Gap, Inc. decided to become the number one service-quality clothing company in the world, they were engaging in the management function of _____.
Planning
What are the four main management functions?
Planning: determining organizational goals and a means for achieving them Organizing: deciding where decisions will be made, who will do what jobs and tasks, and who will work for whom in the company Controlling: managing employee and company performance and ensuring they stay on track Leading: inspiring and motivating workers to work hard to achieve organizational goals
Why didn't theories of management develop before the mid to late 1800s?
Prior to the industrialization, people generally worked on farms or in small family businesses that did not require management theories to run the business.
Behavioral Theories: University of Michigan
Production-oriented leaders - Focus on accomplishing group tasks; regard employees as a means to That end Employee-oriented leaders - Emphasize interpersonal relationships and take a personal interest in employees and their needs
Retrenchment Strategy
Reduction in size of organization and/or selling off less profitable product lines and services Ex: Hotels and airline companies
Blake and Mouton's Managerial Grid
Review this: https://quizlet.com/155093114/leadership-style-blake-mouton-managerial-grid-flash-cards/ https://quizlet.com/314538121/blake-moutons-managerial-grid-flash-cards/ https://quizlet.com/gb/214504393/blake-mouton-managerial-grid-flash-cards/
Which of the following scenarios does not demonstrate an emotional intelligence skill?
Shinichi is focused on the sales manager's attitude at work and and spends his evenings thinking about how he can change the manager's outlook
Combination Strategy
Simultaneously pursue two or more strategies in different parts of the organization Ex: Disney +
Skills Theories
Skills and abilities define leadership success 1. Conceptual: ability to analyze the marketplace, opportunities, and build competitive strategies 2. Technical: understanding the job of employees and the key tasks that need to be completed 3. Interpersonal: knowing how to build relationships, communicate, and work well with people 4. Political: being skilled at building and utilizing networks, influencing others, and accomplishing goals within complex business environments
Difference between: Strategic and Tactical plans
Strategic Plans: Establish the organization's long-term overall objectives and how it will compete in the market Tactical Plans: Serve as short-term operational plans that specify how the overall objectives will be achieved
What are the two types of plans
Strategic and Tactical
Explain operational, tactical, and strategic focuses
Strategic: where are we going and why? Tactical: What is worth doing and when? Operational: How to do the right things
Her-she is a U.S.-based company that manufactures and distributes candy bars and snack foods globally. The company sources most of its cocoa and sugar from South American companies. This business relationship highlights which dimension of the task environment?
Suppliers
What situational leadership style? When tasks are boring and repetitive
Supportive
What situational leadership style? When tasks are stressful
Supportive
Entrepreneurs Characteristics
Take risk Start a business Gather resources Produce a good or service Seek a profit or other rewards They either INNOVATE or REPLICATE
Akhil owns a watch business. He designs and makes watches. Akhil has realized that his customers' tastes have changed. Instead of wanting the kind of watches that wind (like the ones he makes), they want digital watches that can interact with their phones. This has drastically reduced Akhil's sales. What aspect of the environment is affecting Akhil's business?
Task environment
TIME, a large cable provider, has recently started to be very concerned about customer service. The reason for this is that there are some very good competitors that are now stealing their business. Therefore, TIME has recognized how important it is to have a strong customer service focus to remain competitive and is now stressing this aspect of their business. Which aspect of the environment is shaping TIME's new initiative?
Task environment
When hiring people who are beginning their management career and who will join Venus as entry-level supervisors to oversee the design and production of their clothing lines, Melissa and Joanna should look primarily for which type of skills in these managers?
Technical skills
What are the Levels within the organization
Top Management Middle Management Front Line Management Operatives Front Line Employees
What are the key elements of transformational leadership? (4 of them)
Treating team members and employees as full human beings and helping them to achieve their full potential Inspiring others to accomplish more than what is usually expected of them and more than what they thought possible 1. Motivation/Inspiration 2. Intellectual stimulation 3. Idealized influence 4. Individualized consideration
Situational Leadership: People are both unable and unwilling to take responsibility for doing something. Followers aren't competent or confident.
Use Directive?
Situational Leadership: People are unable but willing to do the necessary job tasks. Followers are motivated but lack the appropriate skills
Use.....
Situational Leadership: People are able but unwilling to do what the leader wants. Followers are competent but don't want to do something.
Use.......
Company culture- Visible vs Invisible culture elements
Visible = Behaviors and Structures - manners, actions, routine, technology, vision and mssion, physical enviornment Values - Expectations, assumptions, deep embedded thoughts
Emotional Intelligence
What is your capacity to be aware of, control, and express your emotions, and to handle interpersonal relationships judiciously and empathetically?
Conflict management strategies
What style do you use most often? You should work towards being comfortable using all of the styles and choosing the best style for each specific situation. 1. Accomodation or soothing 2. Collaboration or problem solving 3. Avoidance or withdrawal 4. Competition or authoritative Command *********Know scenarios for this**************
Practice this
https://www.chegg.com/flashcards/chapter-3-0eee463b-24cc-42f5-81d6-c653f40f0e33/deck
First Line managers Include
accounting supervisor, IT, HRM, etc.
Task Environment
directly affects the organization's ability to attain business goals
What does the controlling person demonstrate, according to the Blake and Mouton Managerial Grid?
high concern for results, low concern for people
The Blake and Mouton Managerial Grid style that represents the lowest level of concern for both results and people is called _____________.
indifferent; impoverished management
As one of the key management functions, leading focuses on a manager's efforts to
mobilize people to contribute their ideas
Clay is needed to make brick efficiently. Many parts of the country to do not have enough clay in their soil to make bricks. For example, in New York, home builders rarely use brick because it is so inaccessible. This is an example of how the ________________ environment can affect business.
natural
Vision vs Mission
see pic Vision statement Where are we going? What is our organizations ideal state? Provide direction for organizations and are focused on the future Mission Statement: How will we get there? What do we do? Who do we serve? Mission Statements describe the purpose of the organization and what it is doing today to achieve its vision in the future Goals: for each department that align with the mission Objectives: for each employee that align with the goals of the department Values: describe what the organization believes in and how it will behave
Common Titles of managers and executives
see pic.
In the Blake and Mouton Managerial Grid, which behavioral model sees a high level of concern for either people or results as too extreme and tries to moderate both in the work place?
status quo
Beth works for an accounting firm. The most competent accountants tend to get promoted to manager. However, just because these managers have demonstrated that they have strong _________ skills, does not mean they will also have good ________, or ___________ skills. All three of these skills are required to effectively perform the four management functions.
technical; human; conceptual
In a college seminar, Joe learned that performance-based pay increased individual performance. When he worked in a retail store, he saw performance-based pay increase job performance. However, in the medical profession, Joe has observed that performance-based pay has no effect on performance. He therefore believes that performance-based pay may work, but not necessarily in all situations. This is an example of which of the following?
the contingency view
Internal Environment
the elements within the organization, including current employees, management, and especially corporate culture, which defines employee behavior
General Environment
the factors and conditions that generally affect everyone in an industry or market
On the Blake and Mouton Managerial Grid, the person with a sound attitude believes in "what's right" rather than _____.
who's right