Mgmt ch 12-15

role of six sigma

, a process is producing fewer than 3.4 defects per million, which means it is operating at a 99.99966 percent level of accuracy. also have substantially lower production costs and cycle times and much higher levels of customer satisfaction.

superior team leaders excel at these behaviors

-scouting, persuading, relating, and empowering

internal audit

1. Assesses what the company has done for itself. 2. What it has done for its customers or other recipients of its goods or services.

Stages of team development

1. Forming- group memebers lay the ground rules for what types of behavior are acceptable. 2. Norming-group members agree on their shared goals, and norms and closer relationships are developed. 3. Storming- hostiles and conflict arise, and people jockey for positions of power and status. 4. performing- the group channels its energies into performing its task

external audit

1. Investigates other organizations for possible merger or acquisition. 2.Determines the soundness of a company that will be used as a major supplier. 3. Discovers the strengths and weaknesses of a competitor to maintain or better exploit the competitive advantage of the investigating organization

3 criteria that define team effectiveness?

1. Productive output of the team meets or exceeds standards of quantity and quality 2.Team members realize satisfaction of their personal needs 3.Team members remain committed to working together again

4 steps of control systems

1. Setting performance standards. 2. Measuring performance. 3. Comparing performance against the standards and determining deviations. 4. Taking action to correct problems and reinforce successes.

4 way strategy to resolve disputes

1. investigate 2. decide 3. take action 4. follow up

disadvantages of using electronic media at work

1. may not be effective for solving some types of complex problems. 2. prevents interpretation of subtle nonverbal cues conveyed by the sender. 3. endangers less trust among users than does face-to-face communication. 4. messages can hurt feelings, be insensitively worded 5. sensitive or private info can be leaked or sent to wrong person

how can managers build cohesive teams with high performance norms?

1. recruit memebers with similar attitudes, values, and backgrounds 2. maintain high entrance and socialization standards. 3.keep team as small as possible 4. help team succeed and publicize its successes. 5. be participative leader 6. present a challenge from outside the team. 7. tie rewards to team performance

ways to send positive nonverbal signals

1.Use time appropriately. 2. Make your office arrangement conducive to open communication. 3. Remember your body language.

group

A collection of people who interact to undertake a task but do not necessarily perform as a unit or achieve significant performance improvements

debt-equity ratio

A leverage ratio that indicates the company's ability to meet its long-term financial obligations

current ratio

A liquidity ratio that indicates the extent to which short term assets can decline and still be adequate to pay short-term liabilities

principle of exception

A managerial principle stating that control is enhanced by concentrating on the exceptions to or significant deviations from the expected result or standard.

activity-based costing(ABC)

A method of cost accounting designed to identify streams of activity and then to allocate costs across particular business processes according to the amount of time employees devote to particular activities.

virtual office

A mobile office in which people can work anywhere, as long as they have the tools to communicate with customers and colleagues.

Technical innovator

A person who develops a new technology or has the key skills to install and operate the technology.

product champion

A person who promotes the idea throughout the organization, searching for support and acceptance

Disruptive innovation

A process by which a product, service, or business model takes root initially in simple applications at the bottom of a market and then moves "up market," eventually displacing established competitors.

one-way communication

A process in which information flows in only one direction—from the sender to the receiver, with no feedback loop.

two-way communication

A process in which information flows in two directions—the receiver provides feedback, and the sender is receptive to the feedback.

conflict

A process in which one party perceives that its interests are being opposed or negatively affected by another party. Conflicts arise both within and among teams.

return on investment

A ratio of profit to capital used, or a rate of return from capital.

avoidance

A reaction to conflict that involves ignoring the problem by doing nothing at all, or deemphasizing the disagreement.

balance sheet

A report that shows the financial picture of a company at a given time and itemizes assets, liabilities, and stockholders' equity.

web 2.0

A set of Internet-based applications that encourage user-provided content and collaboration. social networking, podcasts, RSS, and wikis.

Team

A small number of people with complementary skills who are committed to a common purpose, set of performance goals, and approach for which they hold themselves mutually accountable.

collaboration

A style of dealing with conflict emphasizing both cooperation and assertiveness to maximize both parties' satisfaction.

accommodation

A style of dealing with conflict involving cooperation on behalf of the other party but not being assertive about one's own interests.

compromise

A style of dealing with conflict involving moderate attention to both parties' concerns.

competing

A style of dealing with conflict involving strong focus on one's own goals and little or no concern for the other person's goals.

gatekeeper

A team member who keeps abreast of current developments and provides the team with relevant information.

informing

A team strategy that entails making decisions with the team and then informing outsiders of its intentions. informing teams are likely to fail bc they are too isolated from outside groups on which they depend.

parading

A team strategy that entails simultaneously emphasizing internal team building and achieving external visibility. Parading teams perform at intermediate level.

probing

A team strategy that requires team members to interact frequently with outsiders, diagnose their needs, and experiment with solutions before taking action. focus on external relations. when teams have high dependence on outsiders, probing is best strategy.

mediator

A third party who intervenes to help others manage their conflict.

Genius of the and

Ability to achieve multiple objectives at the same time. Examples Purpose beyond profit and pragmatic pursuit of profit. Clear vision and direction and experimentation

Force-field analysis

An approach to implementing Lewin's unfreezing/moving/ refreezing model by involving identifying the forces that prevent people from changing and those that will drive people toward change.

management audit

An evaluation of the effectiveness and efficiency of various systems within an organization.

Executive champion

An executive who has the status, authority, and financial resources to support the project and protect the product champion.

task specialist

An individual who has more advanced job-related skills and abilities than other group members possess.

profit and loss statement

An itemized financial statement of the income and expenses of a company's operations.

boundaryless organization

An organization in which there are no barriers to information flow. Implies information available as needed moving quickly and easily enough so that the organization functions far better as a whole than as separate parts.

control

Any process that directs the activities of individuals toward the achievement of organizational goals.

self-managed teams

Autonomous work groups in which workers are trained to do all or most of the jobs in a unit, have no immediate supervisor, and make decisions previously made by firstline supervisors.

clan control

Control based on the norms, values, shared goals, and trust among group members.

market control

Control based on the use of pricing mechanisms and economic information to regulate activities within organizations.

balanced scorecard

Control system combining four sets of performance measures: financial, customer, business process, and learning and growth.

feedback control

Control that focuses on the use of information about previous results to correct deviations from the acceptable standard.

advisory relationships

Created when teams with problems call on centralized sources of expert knowledge

audit relationships

Develop when people not directly in the chain of command evaluate the methods and performances of other teams.

roles

Different sets of expectations for how different individuals should behave.

work-flow relationships

Emerge as materials are passed from one group to another.

service relationships

Exist when top management centralizes an activity to which a large number of other units must gain access

standard

Expected performance for a given goal: a target that establishes a desired performance level, motivates performance, and serves as a benchmark against which actual performance is assessed.

management myopia

Focusing on short-term earnings and profits at the expense of longer-term strategic obligations.

Autonomous work groups

Groups that control decisions about and execution of a complete range of tasks.

Traditional work groups

Groups that have no managerial responsibilities. Self-managed teams empower employees.

Semiautonomous work groups

Groups that make decisions about managing and carrying out major production activities but get outside support for quality control and maintenance.

superordinate goals

Higher-level goals taking priority over specific individual or group goals.

team maintenance specialist

Individual who develops and maintains team harmony.

General reasons for resistance

Inertia Timing Surprise Peer pressure

downward communication

Information that flows from higher to lower levels in the organization's hierarchy.

upward communication

Information that flows from lower to higher levels in the organization's hierarchy.

stabilization relationships

Involve auditing before the fact. Teams sometimes must gain clearance from others, for example, large purchases-before they act.

Structure

Making the organization easy to work in and easy to work with, characterized by cooperation and the exchange of information and knowledge throughout the organization.

Culture

One that motivates, empowers people to innovate, rewards people appropriately, entails strong values, challenges people, and provides a satisfying work environment.

accounting audits

Procedures used to verify accounting reports and statements.

reflection

Process by which a person states what he or she believes the other person is saying.

technology audit

Process of clarifying the key technologies on which an organization depends.

Unfreezing

Realizing that current practices are inappropriate and that new behavior is necessary.

Change-specific reasons for resistance

Self-interest Misunderstanding Different assessments Management tactics

Norms

Shared beliefs about how people should think and behave.

Refreezing

Strengthening the new behaviors that support the change.

Virtual teams

Teams that are physically dispersed and communicate electronically more than face-to-face

Management teams

Teams that coordinate and give direction to the subunits under their jurisdiction and integrate work among subunits.

Work teams

Teams that make or do things like manufacture, assemble, sell, or provide service

Parallel teams

Teams that operate separately from the regular work structure, and exist temporarily

Project and development teams

Teams that work on long term projects but disband once the work is completed.

self-designing teams

Teams with the responsibilities of autonomous work groups, plus control over hiring, firing, and deciding what tasks members perform

Stockholders' equity

The amount accruing to the corporation's owners.

liabilties

The amounts a corporation owes to various creditors.

Tyranny of the or

The belief that things must be either A or B and cannot be both. Beliefs that only one goal can be attained often are invalid.

feedforward control

The control process used before operations begin, including policies, procedures, and rules designed to ensure that planned activities are carried out properly.

concurrent control

The control process used while plans are being carried out, including directing, monitoring, and fine-tuning activities as they are performed.

media richness

The degree to which a communication channel conveys information.

cohesiveness

The degree to which a group is attractive to its members, members are motivated to remain in the group, and members influence one another.

budgeting

The process of investigating what is being done and comparing the results with the corresponding budget data to verify accomplishments or remedy differences. Also called budgetary controlling.

perception

The process of receiving and interpreting information.

filtering

The process of withholding, ignoring, or distorting information.

grapevine

The social network of informal communications. Provides people with information. Helps them solve problems. Teaches them how to do their work successfully

Organization development (OD)-

The system wide application of behavioral science knowledge to develop, improve, and reinforce the strategies, structures, and processes that lead to organizational effectiveness.

communication

The transmission of information and meaning from one party to another through the use of shared symbols.

bureaucratic control

The use of rules, regulations, and authority to guide performance.

assets

The values of the various items the corporation owns

Quality circles

Voluntary groups of people drawn from various production teams who make suggestions about quality.

Transactional team

Work groups composed of multinational members whose activities span multiple countries

social facilitation effect

Working harder when in a group than when working alone.

social loafing

Working less hard and being less productive when in a group.

team leadership

build trust and teamwork, facilitate and support team decisions, expand team capabilities, create team identity, leverage team differences, anticipate and influence change.

base technologies

commonplace in the industry; everyone must have them.

Chief information officer (CIO)

coordinate the technological efforts of the various business units and identify ways that technology can support the company's strategy.

Supervisory leadership

direct people, explain decisions, train individuals, manage one-on-one, contain conflict, react to change.

Environmental scanning

focuses on what can be done and what is being developed. emphasizes identifying and monitoring the sources of new technologies for an industry.

key technologies

have proved effective but offer a strategic advantage because not everyone uses them.

pacing technologies

have yet to prove their full value but have the potential to provide a significant advantage that alters the rules of competition.

horizontal communication

information shared among people on the same hierarchical level.

what are the ways to manage lateral relationships?

informing, parading, probing

noise

interference in the system that blocks perfect understanding. examples:ringing telephones, thoughts about other things, simple fatigue or stress

liaison relationships

involve intermediaries between teams. managers are often called on to mediate conflict between two organizational units. PR people, sales managers, purchasing agents, and others who work across organizational boundaries serve inn liaison roles as they maintain communications between the organization and the outside world.

participative leadership

involve people, get input for decisions, develop individuals, coordinate group effort, resolve conflict, implement change.

emerging technologies

still under development but may significantly alter the rules of competition in the future.

When do groups terminate?

when they complete their task or when they disband due to failure or loss of interest.

What are the different types of teams

work, project, parallel, management, transactional, virtual