CRSP Prep - Management Systems
Comparative Management Practices Within an organization use Theory Z principles, one would expect to find:
- A long-term employment philosophy - Slower promotions and more lateral job movements - An emphasis on career planning and development - Broad concern for employee involvement
Classical Approaches Scientific Management (Taylorism) Name the four principles of management for managers to follow.
- Develop standardized work implements, proper working conditions and rules of motion for every job. - Carefully select workers with the right abilities for the job. - Carefully train these workers to do the job, giving them proper incentives to co-operate with job incentives. - Support these workers by planning their work and by smoothing the way as they go about their jobs.
What could go wrong in the relationship between MNOs and host countries. The Host countries could complain about:
- Excessive profits - Government interfering - Take best local talent - No development - No technical transfer - No respect to local respect, laws or needs
Bureaucracies Reasons bureaucracy are ineffective in today's world
- Excessive red tape - slowness in handling problems - rigidity in the case of changing clients needs - resistance to change - employee empathy
Identify 4 environmental elements for global economy
- Firm Strategy, structure and rivalry - Demand conditions - Related and supporting industries - Factor Conditions
What are the mutual benefits to MNO and host countries?
- Growth - Income - Learning - Development
Bird's Dominos
- Lack of Control (inspections / training / investigations etc) - Basic Cause (lack of knowledge/inadequate design) - Immediate Cause Unsafe practices (horseplay, improper lifting / using wrong tools Unsafe conditions (defective equip / noise etc) - Incident /Contact (stuck by, falls) - People / Property Loss
Name the nine Successful Management Traits
- Leadership - Self-objectivity - Analytic thinking - Flexible behaviour - Oral presentation - Written communication - Personal impact - Resistance to stress - Tolerance for Uncertainty
What could go wrong with MNOs and Host Countries What complaint could MNOs have?
- Profit limits - Overpriced resources - Exploitative regulations - Foreign exchange restrictions - Failure to meet contract obligations
Henrich's Dominos
- Social environment / Ancestry - Fault of Person - Unsafe Acts / Condition - Accident - Injury
Important difference between Heinrich's and Bird's models
1. Lack of control by management, and not personal traits of workers. 2. Bird incorporates "loss control management" with ISMEC cycle. 3. the concept of "contact" and "energy" or a "substance" us used as description of the "accident" 4. Incidents (which include close calls) instead of "accident" 5. Bird includes "disease" in the meaning of "injury" this model is not just about safety, it includes health 6. The model is a multi-causation model 7. Substantial acts/condition are symptom and less important than root cause 8. "Damage" means property damage as well as injury
OHS Indicators Name the seven factors that make up the AIChe
1. Strategic Commitment to Sustainability 2. Sustainable Innovation 3. Environmental Performance 4. Safety Performances 5. Product Stewardship 6. Social Responsibility 7. Value-Chain Management
Germain et al Pyramid Model - UK 1993
1:7:189 1 serious or disability 7 minor injuries or illness 89 non-injury / illness accident
Describe Multinational Organization (MNO)
A Not-for-profit organization that spans the world Unicef
Modern Approaches Name eight attributes of performance excellence
A bias toward action (making timely decisions) Closeness to the customer Autonomy and entrepreneurship (changes risks...) Productivity through people (respect HR) Hands-on and value-driven (organizational purpose) Sticking to the knitting (focusing on org strength) Simple form and lean staff Simultaneous loose-tight properties - allowing worker flexibility while maintaining overall control.
What is a Functional Manager
A manager who is responsible for a single, specific area. ei. Finance, Production or Personnel manager.
Describe Manager's Human Skills
A manager with good human skills will have a high degree of self-awareness and a capacity to empathize with the feelings of others. This will show itself in the workplace through trust, enthusiasm and interpersonal involvement
Multiple causation and total loss
A root cause can have many possible losses an that any loss should be traced backwards to a root cause failure in the management system. An environmental can be traced back to GHS program, security breach can cause occupation loss, falling items can indicate poor scaffold (no toeboard)
Behaviour Approaches Explain Social Needs
Abraham Maslow Need for love, affection, sense of belonging in relationship with others
Behavior Approaches Explain Self-Actualization
Abraham Maslow The highest need, to grow and use abilities to fullest, most creative extent
Theory of Human Needs What is Abraham Maslow's theory
Along the way to step by step hierarchy human needs dominate a person's attention and determines their behavior (the deficit principle) When the next higher level need occurs (the progressive principle) At the level of self-actuation, the deficit and progressive cease to exist. The more the need is satisfied, the stronger it grows.
What is the Foreign Corruption Practice Act (FCPA)
American Congress passed the act in 1977. The act requires detailed records of business transactions between corporations and foreign countries. Canada has not followed suit as of the date study guide was created.
OHS Indicators Describe AIChE
American Institute of Chemical Engineers Sustainability Index. - benchmarks well-defined performance indicators including OHS, innovation and other societal measures. The metrics are based on over 30 sources of public data.
Describe a manager's technical skills
An ability to apply in one's work a special proficiency or expertise relation to a method, process and procedure. e.i. accountants, engineers, market researchers and computer scientist all possess the technical skills
What is an "Accident Theory?"
An accident theory explains how accidents are caused. It can distinguish between causes that are many steps removed from an accident or it may focus on the event which took placed immediately before the accident.
What is a group of people working together to achieve one common purpose
An organization
Frank Bird's Original Domino Model
Bird broadened Henrich's model to include property damage. If a wrench fell and damaged machinery, it could've have caused worker injury. He refers to "incidents" rather than "accidents", because he is concerned with "close calls" as well as, actual damages.
Henrich's Supervisor's Control of Workers' Unsafe Acts will prevent accidents.
By focusing on unsafe acts we have close supervision. Critics have said in encourages "blame to victim". If the worker has an accident it is his fault, where is management responsibilities? In the 1930s and 1940s this model was praised for focusing on workers behaviour as opposed to physical conditions.
Personality and Organization Who wrote "Personality and Organization" . The book points out that traditional and hierarchy may conflict with the needs of the mature adults
Chris Argyris is consistent with Maslow and McGregor, however he is more concerned with the organization itself. Psychological success requires people to be able to define their own goals.
Classical Approaches Bureaucratic Organization What are the special characteristics of Max Weber's bureaucracy? A German turn of the century criticized the German government of placing people in position because of privileged status, not job capability
Clear Division of Labour - Jobs are specialized into routine and well-defined tasks, people become skilled Well-defined Hierarchy of Authority - authority and responsibility are identified for each position and each Formal rules & procedures - Written documents, extensive files are kept for historical record Impersonality - Rules and procedures are impartial, apply to all employees & clients Careers based on merit -Personnel are selected and promoted on ability and performance accomplished and managers are career employees.
Environmental Influences on Global Operations Identify Michael Porter's four environmental elements that are critical to business and national competitiveness in a global economy. Competitive advantage is more likely when the four points of the "Dynamic Diamond" are positive
Competitive Advantages - Firm strategy, Structure and Rivalry - Demand conditions - Related and supporting Industries - Factor conditions
Modern Approaches Describe Contingency Thinking
Contingency perspective tries to understand situation differences and help the managers respond the best ways.
Describe Multinational Corporation (MNC)
Corporation that operated in more than one foreign country
Productivity + Quality of Life
Describes the overall quality of human experience in the workplace
Theory X and Z Who wrote "The Human Side of Enterprise" and was influenced by the Hawthorne studies and Maslow?
Douglas McGregor - Thesis that managers should give more attention to social and self-actualizing needs of workers
Describe Ethnocentric Company
Ethnocentric Companies expect to operate abroad the same way as their central HQ
Definition of Process Safety
Focuses on integrity of industrial processes. eg: Equipment maintenance, asset integrity, process change reporting. Large incidents as Gulf Oil Disaster (Deepwater Horizon). These are difficult to measure, less minor incidents and near misses.
Definition of Personal Safety
Focuses on what is required to keep people safe. eg. on-site hazards, incident reporting, slips/trips, PPE ect
Classical Approach Name the five rules or duties of management in Henri Fayol (Admistrative principles) book.
Foresight - to prepare a scheme for the future Organization - to provide resources necessary to implement the plan; to mobilize effort in support of the plan. Command - to lead in such a way that workers are evaluated properly and inspired to give their best Coordination - to ensure that the efforts of subunits fit properly together and ensure that information is shared and problems solved. Control - to verify progress and make sure things happen according to plan and corrective action.
Behavioral Approaches Who led research in 1927 and found productivity steadily increased regardless of physical changes made.
Harvard's Elton Mayo
Behavior Approach Describe Hawthorne Effect
Hawthorn Effects People who are single out tend to perform as anticipated merely because of the expectation created by the situation. Many criticize the studies, but they paved the way for the human relations movement in the 1950 - 1960
Herbert Heinrich's Domino Model
He argues that ancestry (bad genes) and social environment (bad toilet training) result in people with flaws. In his original model 1930s the majority of accidents occurred by "unsafe acts" as opposed to "unsafe conditions" 90% were attributed to unsafe acts such as walking under suspended loads, horseplay etc. In his belief we can't fix people, he proposed that we focus on the middle domino (unsafe acts and conditions.
Bird's Original Theory of Accident Causation
He has broadened causal factors to include "basic cause" and "immediate cause" as opposed to "fault of Person" He changed Heinrich's unsafe acts and condition terminology to "substandard" acts and condition, as he believes there should be standards for behaviour and conditions. (this mirrors terminology in the quality movement. His theory was originally focused on the "key person" Supervisor's fail to inspect, train and enforce.
List names associated management models (domino models)
Heinrich, Bird, Adams, Reason
The Classical Approach Administrative Principles Who wrote "Administration Industrielle et Generale"
Henri Fayol in 1916.
Heinrich's Pyramid with and energy framework overlaid
High energy should be concentrated on first. All should be investigated, but we should spend a lot of our resources investigating close calls what have the potential of severe accidents.
Classical Approaches Scientific Management (Taylorism) Name the book Frederick W. Taylor wrote
In 1911, "The Principles of the Scientific Management" He made the following statement "The principal object of management should be to secure maximum prosperity for the employer, coupled with the maximum prosperity of the employee. He believe workers performed below their true capacities. He believed it could be rectified by systematic approach to management based on proper direction and monetary incentives for the workers
Modern Approaches People are complex with multiple needs that can change over time. The possess a range of talents and abilities that develop over time.
In modern approaches to management, organization are views as systems. (A collection of interrelates parts that function together to achieve a common purpose. Subsystems - a smaller component of a larger system
Iceberg
Injury and Illness costs (medical, loss time) Property, process, material, misc costs (6-53 times as much - production loss - building damage -Tool and equipment damage - legal fees - Emergency supplies - Clerical costs
Heinrich's Pyramid Model
Is very old and emphasizes on the worker behaviour rather than the management system. 1:29:300:1000. His theory was a vast number of "close calls" that resulted into minor accidents that lead to 1 major accident. 1 major injury 29 minor injuries 300 no injury accidents 1000 unsafe practices and conditions
Classical Approaches Who wrote The Flight of the Buffalo?
James A. Belasco and Ralph C. Stayer Unfortunately scientific management offer no guidance
Who said "Companies can learn from one another, particularly other excellent company at home and abroad.....
Kenichi Ohmae
Who wrote "Companies can learn from one another, particularly from other excellent companies, both at home and abroad. The industrialized world is becoming increasingly homogeneous (similar) in terms of customer needs and social infrastructure, and only truly excellent companies can complete effectively in the global marketplace"
Kenichi Ohmae
Describe sustainability
Levels of profitability expected by shareholders, protect the environment and add value to the community. Environmental protection has increased by corporate America since the first earth day on April 22, 1970 Supporting local causes - painting etc. OHS indicators becoming integral part of business success.
Quantitative Approaches What is Mathematic Forecasting?
Makes future projection that are useful in the planning process
Describe Effective Managers
Manager who will achieve both high performance outcomes from the team member and high levels of satisfaction among the team members doin the work
Manager who will achieve both high performance outcomes from the team member and high levels of satisfaction among the team members doin the work
Manager who will achieve both high performance outcomes from the team member and high levels of satisfaction among the team members doin the work
Behaviour Approaches Describe Theory X
Managers believe that subordinates - hate work - lack ambition - are irresponsible - are resistant to change - prefer to be lead
Behaviour Approaches Describe Theory Y
Managers believe their subordinates are - willing to work - willing to accept responsibilities - capable of self-direction - capable of self-control - creative Both approaches create self-fulfilling prophecies
What is an Administrator
Managers who work in public or not-for-profit organizations ei. Hospital Administrators, City Administrators
Classical Approaches Administrative Principles Who was named "one of the most important women America has yet produced in the fields of civics and sociology?
Mary Parker Follett In her view, managers and workers should work in harmony, without one party dominating over another and with the ability to reconcile conflict and differences. The role of manager was to help people within organization co-operate with one another and achieve the needed integration of interests.
Behaviour Approaches What were the 5 main areas of Abraham Maslow human needs
Maslow's Hierarchy of Needs - Self-Actualization Needs - Esteem Needs - Social Needs - Safety Needs - Physiological Needs
Quantitative Approaches Uses math techniques to improve managerial decisions. Name the science applications.
Mathematical Forecasting - future projections that are useful in planning Inventory Modeling - mathematically how much to order and when Linear Programming - calculates how to best allocate scarce resources Queuing Theory - allocate personnel to minimize customer waiting time Network Models -break tasks into smaller for better analysis Simulation - make models of problem to test
Performance Efficiency
Measures resource costs associated with goal accomplishment (labour, equipment, facility, materials) IN
Performance Effectiveness
Measures task output or goals accomplishments Out (quota)
Who wrote "Competitive Advantages of Nations"
Michael Porter
Who wrote "The Competitive Advantage of Nations"
Michael Porter
Bird's Pyramid Model
More modern approach than Heinrich. Find the root causes of accidents in problems with management systems. Frank analyzed over 1.7M accidents reported in 237 companies while working for American Insurance company. Similar to Heinrich, but added property damage accidents. 1 serious 29 minor injuries 300 property damage accidents 600 incidents with no visible loss
Behaviour Approaches Explain Esteem needs
Need to be esteemed by others. need for respect, recognition, sense of competency
Define Productivity
P=Q+Q-R Measures the quantity and quality of work performed while taking resource utilization in consideration
Who wrote "Effectiveness is doing the right thing, but efficiency is doing the thing right"
Peter Drucker
Perspective on Management What is the Classical Approaches?
Practice management models that have evolved over the past century. Important for OHS professionals to fully contribute to the risk management goals of the employer or client. Many find these approaches as normal, but there may be better ways to organize, plan, lead and control with the speed a which cultures are changing and evolving
Describe a manager's Responsibility
Responsibility is something assigned by the manager. When a manager indicates to another person what work or duties they are expected to do, this creates a responsibility - an obligation on the other person to perform the assigned tasks.
Behaviour Approaches Explain Safety and Physiological needs
Safety needs Need for security, protection and stability Physiological Needs - Most basic human need, biological well-being (food,
Classical Approaches Administrative Principles Fayol development other principles that are still used today. Name them.
Scalar Chain - that there should be unbroken lines of communication from top to bottom. Unity of Command - That each person should receive orders from only one boss. Unity of Direction - That one person should be in charge of all activities having the same performance objective.
Perspectives on Management Name the three branches of the classical approach to management.
Scientific Management - Frederick Taylor, The Gilbreths. Administrative principles - Henry Fayol; Mary Parker Follett Bureaucratic organization - Max Weber
What is a Line Manager
Specific areas
What are essential management skills
Technical Skills - The ability to perform certain tasks Human Relations skills - The ability to work well with others Conceptual skills (visionary) - The ability to think analytically
Hawthorne Studies When and where and why did the study occur
The Western Electric Company at the Hawthorne Works in a Chicago plant initiated the Hawthorne Study in 1924 It was to determine how various levels of illumination in the workplace affected output.
Environmental Influences on Global Operations Describe Demand Conditions.
The home-market demand in customer based, the number and sophistication of potential customers for various goods and services.
Bird's Later Model - Shifting from Supervisor to Management System
The most commonly used in Canada, has replaced the supervisor with MS. The failure to set up the right program, or set proper standards of enforce those standards in the root cause of accidents.
Environmental Influences on Global Operations Describe Factor Conditions
The nation's position on basic resources, basic infrastructure (transportation, energy and other supporting systems) and skilled labour
Environmental Influences on Global Operations Describe Related and Supporting Industries
The national base of suppliers a firm needs to secure resource inputs and other essential services.
Environmental Influences on Global Operations Describe Firm strategy, structure and rivalry.
The national conditions affecting how firms operate, specially the intensity and concentration of competitive and the nature of business ownership - public or private.
Classical Approach What is Motion Study?
The science of reducing a task to its basic motions. Frank and Lillian are pioneers of Motion Studies. In a famous study, they reduced the number of motions used by bricklayers and tripled their productivity. Their work was foundational for later advances in job simplification, work standards and incentive wage plans. Some of these principles can be observed in today's ergonomic practices.
Describe Geocentric Companies
The seek total integration of the global operations
What is Comparative Management?
The study of how management systems differ from one country to the next
Describe a manager's conceptual skill
Theconceptual skills of the manager allows them to view situations broadly and solve problems for the good of all concerned. It involves the ability to break problems to small parts. The higher the manager grows in the organization, they must deal with more ambiguous, abstract problems that require high-level of mastery in conceptual skills.
Name two books written on comparative management. Calling attention on the possible link between Japanese management practice and business success.
Theory Z - by William Ouchi The Art of Japanese Management - by Richard Tanner Pascale and Anthony G. Athos
Behavioral Approaches - People are natural social and self-actualizing Name the four primary branches of behavioral approach
Theory of Human Needs - Abraham Maslow Theory X and Theory Y - Douglas McGregor Hawthorne Studies - Elton Mayo Personality and Organization - Chris Argyis
Describe Polycentric Companies
These companies allow their foreign companies to run with more freedom
Name the three Levels of Management
Top Level Managers (CEOs, Executives, VPs) - Establish objectives, policy and strategy; make long term decisions Middle Managers (Deans, Division Managers) - Interpret top management directives into operating plans, make implementation decisions First Level Managers (department heads, supervisors) - Direct and support work of non-managerial personnel; make short term operating decisions.
Scientific Management Drawback of Taylorism
Unfortunately Taylorism offers no guidance to manager regarding manner by which supervisory function are to be carried out. Current leadership literature contradicts made by Frederick Taylor about the role of the supervisor and the worker.
Describe Loss control "Iceberg" metaphor
Used to persuade management that indirect cost of accidents (part that is below the water) are many times greater than the direct costs. Germain et al have referred the indirect costs being 6-53 times the direct costs.
What are Large MNO frequently accused of?
Using their power and money to "buy" local officials
Scientific Management - Taylorism Where can you find Taylor's management settings today?
Where jobs have been standardized ei. fast food restaurants - ensuring quality at an acceptable cost can be delivered time after time.
Behavior Approaches - Hawthorne Studies Describe Group Atmosphere
Workers having the opportunity to share pleasant social relations with each other and desired to do a good job.
Behavior Approach - Hawthorne Studies Describe Participative Supervision.
Workers were made to feel important, were given a lot of information and were frequently asked their opinions. Felt singled out.
Using ISMEC
example inspection frequencies - Identification (lack of control is poor inspections) - Standards established (how often, who, how) - Measure if they are being performed per standards - Evaluate the inspection, if they are poor, set corrective action, as training or perform more often - Correcting deficiencies and commending success Element will be upgrades
What is ISMEC
it is connected to Bird's model. An early management system "audit tool" -Identification of work required to achieve -Standards established for work activities -Measurement of performance by compliance -Evaluating the work performance -Correcting deficiencies and commending success
