Principles of Supervision & Management (DSST & CLEP)

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Abraham Maslow

(1940s-60s) proposed 5 categories in a hierarchy of needs that influence human motivation (where lower order needs are more influential than higher order needs) lowest to highest: psychological (survival, basic drives, hunger, sleep), safety (secure, comfortable, order, stability), social/love/belonging (relationships), [higher order needs:] esteem (a sense of pride/worth in what they do, recognition, prestige), and self-actualization (self-fulfillment, being the best they can be)

10 principles of a systems approach

(Daniel Katz & Robert Khan wrote a book about these) input (taking in energy and resources) - throughput (inputs are processed and transformed) - output (products, services, and knowledge) - cycles of events (cycles of exchanges occur to define the system's boundaries) - negative entropy (systems wear down unless more energy is added to prevent it) - negative feedback (feedback is important to using resources efficiently) - steady state & homeostasis (systems need to maintain stability/a balance among internal parts and between internal and external) - differentiation (systems become more elaborate and differentiated over time through growth) - integration & coordination (differentiation increased the need for integration to maintain homeostasis) - equifinality (multiple roads to the same outcome/success)

self-awareness - control/regulation of emotions - motivation - empathy - influencing others

(Goleman's areas of emotional intelligence:) knowing your own emotions - remain positive/don't get out of control (saying/doing things you regret) - passion motivates people to achieve goals - being understanding and realizing people are different - being persuasive and building trust

leader - liaison - and figurehead

(Mintzberg's establishing interpersonal contacts category/interpersonal roles of management) motivating, developing, and directing subordinates - establishes networks of contacts in the company which can then be used by other roles (such as the monitor) later - diplomatically and courteously doing symbolic activities (ex. meeting with visitors, signing documents, and presiding over celebrations/ceremonies)

entrepreneur - disturbance handler - resource allocator - and negotiator

(Mintzberg's making decisions category/lower/decisional roles of management) initiating new projects and changes in the company - resolving problems that arise (managers in general spend about 20% of their time dealing with conflict, middle-level managers spend up to 26 %) - deciding what projects should be given the limited amount of resources - discussing and balancing conflicting concerns and priorities among groups, such as working conditions, salaries, etc. (higher-up managers handle more important matters, such as deals with other companies)

monitor - disseminator - and spokesperson

(Mintzberg's processing information category/informational roles of management) taking information and prioritizing tasks - sharing pertinent information with those who need it - and sharing information with people outside the company (including giving statements to the press in an emergency/crisis)

human resource management (HRM)

(all employees, especially managers, do this not just those in the specific department) activities for attracting, retaining, and enhancing the performance of employees in a company (a general benchmark for employees to HR staff is 100:1)

justice

(an ethical framework) everyone should be treated with fairness and impartiality, standardized rules and procedures should guide actions, individuals are not responsible for actions which they have no control over (human resources management practices tend to be based on this approach)

utilitarian

(an ethical framework) focuses on the outcomes or consequences of decisions and is based primarily on costs and benefits, choosing what will result in the greatest good (primarily financially/profit optimization) for the most people (usually the company as a whole), the end justifies the means

moral rights

(an ethical framework) freedom of: consent - privacy - conscience - speech - and right to due process

universalism

(an ethical framework) treating everyone the same/how we would want to be treated, correct procedures/intentions, consistency in standards and behavior (sometimes outcomes are undesirable when following this method)

job enrichment/vertical job enlargement

(based on Fred Herzberg's studies on motivation) adds responsibilities and changes in the complexity and skill level required

morals

(broader than, but may influence, ethics) fundamental values that societies impart to their members about right and wrong

functional structure - divisional structure -matrix design

(departmentalization:) grouping people according to the basic functions of the business they do (but they aren't good at communicating across functional departments) - based on products, geography, customers, materials, etc. in order to enable departments to quickly adapt to changes in their environments (a product manager is over each of the divisions instead of the president of the company being the sole head decision maker), each department operates as the complete process (just with a different specialty/area) - a combination of the first two structures, employees are assigned to a functional department (the vertical component) and workers in those departments are each in a certain product team (making a worker part of two units, the product team has more specific, short-term goals than the other unit does), this duality of command (having two bosses) may lead to conflicting orders

decision matrix

(developed by the consulting firm Kepner-Tregoe, Inc., which specializes in relational management) a version of this is where solutions are judged based on several criteria (each with different "weight" of 1, 2, or 3 depending on its importance) and the choices are rated on a scale of 1 to 5 based on how much they meets each criterion. then the weights are multiplied by the rating and each option is added up to determine which best fits your criteria

first or front line/lower level - middle level - senior/top level

(ex. supervisor, office manager, foreman, operational manager - tactical manager, department/plant manager, director of operations - strategic managers, CEO, chief operating officer) progressively higher/more authoritative levels of managers (those at the bottom need more technical skills than conceptual skills, and vise versa for those at the top)

political model

(for decision making) decision contexts do not have an objective set of criteria and priorities (important factors are determined based on political processes, consensus, bargaining, etc., which boils down to: the majority rules)

classical approach

(for decision making) the view that the manager operates in the best economic interests of the company. assumptions: problems can be clearly defined (requiring the decision-maker to know/understand the company's goals) - all relevant information can be obtained and used in making decisions (the conditions of certainty) - the criteria for evaluating the decision are definitely economic in nature - and the decision-maker is logical,/rational, and fully using/applying the criteria appropriately

Henri Fayol's 14 principles of management

(foundational to administrative school/practice) division of labor (increase specialization) - authority & responsibility (they are equal, sometimes lower-level employees are given responsibility for a project but not the authority to do it effectively) - discipline (following-through) - unity of command (instead of conflicting orders) - unity of direction (working for the same goal) - subordination of interest to general (the common good is above individual interests) - remuneration of personnel (pay/incentives should be fair/satisfying for everyone) - centralization (some decisions are best centralized, others decentralized) - scalar chain (everyone is linked in a vertical chain of command) - order (materials and resources should be organized) - equity (and equal treatment) - personnel stability (this increases effectiveness) - initiative (the freedom to propose and take action) - esprit de corps (team spirit, which is helped with verbal rather than written communication)

human skills

(includes Daniel Goleman's emotional intelligence/EIQ: the ability to read, understand, and apply emotional information in dealing with others) working well with other people

corporate reactions to responsibility pressures

(made by Archie Carroll) reaction/obstructionist (fight the pressure, meet bare minimum responsibilities) - defense (do what is required) - accommodation (be progressive, go beyond the minimum) - and proaction (lead in the industry, exceed expectations)

administrative model

(made by Nobel laureate Herbert Simon, for decision making) bounded rationality (decision makers have limited time and mental capacities with which to make decisions, ex. they are inconsistent and take shortcuts) - satisficing (the fact that people search for the minimally acceptable, instead of optimal, solution)

balanced scorecard casual chain

(made by Robert Kaplan and David Norton) successive areas (goals in previous areas must be accomplished prior to later area goals): human/learning & growth (employee skills) - internal business process (process quality and cycle time) - customer (on-time delivery, customer loyalty) - and financial (profitability, return on investment)

Caux Principles

(made by Swiss executives, and business leaders from Europe, Japan, and the US) a business ethics model which includes showing concern for human dignity and kyosei (working for the common good)

economy

(part of the business environment) changes in this effect the company's operation costs, thus effecting procedures, etc.

legal-political

(part of the business environment) this adds certain regulations/standards that a company is required to operate within

technology

(part of the business environment) this can effect how people use a company's product and how the company operates, fluctuations create new opportunities and threats

socio-cultural

(part of the business environment) this means that consumers' beliefs, wants, and trends (ex. healthy food, eco-friendly) greatly effect what products will do better in the marketplace

satisfaction-progression

(regarding approaches like Maslow's hierarchy of needs) once the lower-order needs are satisfied, than higher needs become motivating factors

adapting strategies

(responses to environmental forces) boundary spanners (keeping track of what is going on in the external environment) - flexible/adaptive structures (some structures are better at this than others, relevant information and speed are important) - partnerships/joint ventures and mergers/takeovers (this combines the progress of two companies to improve both companies)

influencing strategies

(responses to environmental forces) lobbying (trying to change laws/regulations) - public relations (using campaigns to influence public opinion) - community roles (companies having employees make a good impact in the community through community service, etc.)

scientific management

(still criticized in the late 20th century) studies work in a systematic manner to find more efficient ways to do things (such as time-and-motion studies). Key people in this school of thought include Frederick Taylor, Henry Gantt (developed the Gantt Chart for planning and tracking progress on different tasks in a project, including the time needed to do each task and which tasks need to be done before others, diamond symbols indicate critical milestones/checkpoints, which is similar to the Program Evaluation & Review Technique/PERT chart by Frederick Taylor), and Frank Gilbreth, Jr. & Ernestine Gilbreth Carey (who both wrote *Cheaper by the Dozen* about efficiency experts Frank and Lillian Gilbreth who apply their efficient procedures to their family of 12 children)

sensing (S) - intuition (N) - thinking (T) - feelings/values (F)

(two sets of alternative results in the self-assessment Myers-Brigg Type Indicator, or MBTI) perceiving/information gathering: through senses, details - through hunches, "big picture" and patterns - evaluate/judge gathered information: logical/rational approach - consider human consequences, values, and ethics

laws

*(an external control) the minimum standard for not doing harm in a society

Douglas McGregor

Theory X: the belief that workers are lazy and shirk responsibilities - Theory Y: the belief that workers will accept responsibility and strive to improve themselves - managers created a self-fulfilling prophecy because of how they treated employees based on their presumptions

Max Weber

a German theorist who came up with the bureaucracy system of management in the late 19th century. He tried to make office work more professional by proposing creating files to provide written documentation of actions taken, rules to govern routine office functions, training employees in these procedures, and hiring based on qualifications for the job rather than the typically required personal connections. He also encouraged the concept of vocation/career (with a hierarchy so that employees can advance over time and move up through the ranks, including increasing salary). "Bureaucrats" emerged as a negative term for those who blindly follow the rules

Chester Barnard

a member of the administrative school who was president of New Jersey Bell Telephone Co. and wrote his observations in the 1930s. His approach was known as the informal organization (because he was less concerned with formal organization procedures and policies), which said that the organization should create positive and minimize negative inducements in order to encourage cooperation, because each worker had a zone of indifference and if the employee was asked to do something outside of that zone the authority would have no influence

Mary Parker Follett

a member of the administrative school, who was trained in psychology, but wasn't a manager, and she wrote in the 1920s. She didn't think that employees would blindly follow orders and that persuading/reasoning with employees wasn't enough, but that it was important for workers to take pride in their work and accept responsibility, she even advocated empowering/sharing power with workers

business process reengineering

a modern version of scientific management/eliminating wasteful motions and steps to save money

strategic business units (SBUs)

a part/department of a company (which has its own goals)

risk

a situation where the goals and options are known but the outcomes are not

certainty

a situation where the manager has full information about goals, options, and the outcomes associated with each alternative

uncertain

a situation where you know the goals but you have incomplete information about your options, and the likelihood/probability of outcomes is not known

process loss

a sub-optimal decision-making process where available information is not shared/used in the process (ex. groupthink)

fishbone analysis

a tool used for identifying root causes of quality problems

administrative school

advocated broader administrative practices (typically for higher levels of management). Key people include Henri Fayol, Chester Barnard, and Mary Parker Follett

decision-making steps

being aware of a needed decision - defining the problem - diagnosis and information gathering - generating alternatives - evaluating alternatives and choosing the best option - implementing the solution - getting feedback and evaluating the decision

specialization

being good at a small set of tasks (according to the division of labor), this enables more effecient productivity

chain of command

connects managers to create a clear and distinct line of authority (showing who has authority over whom)

immediate environment

customers (retention requires knowledge regarding current customers' behaviors/needs) - competitors (their actions can have significant effects on your market share) - suppliers (they give companies vital resources) - labor organizations/human capital (it is important to have employees with the right skills) - and community (the relationship/goodwill a company and its employees have within the community where they are located)

organizational chart

departments or other units (usually represented by rectangles) with lines showing the connections and formal authority relationships between them

(Michael) Porter's competitive strategies

differentiation (standing out among your competitors) - cost leadership (having the best price) - niche/focus (having a target market)

Archie Carroll's categories of social responsibility

economic - legal - ethical - and discretionary/philanthropic (things that society has no clear set of expectations for)

general environment

external information, trends, and emerging issues which managers must take into consideration (this is further divided into the categories of economy, technology, legal-political, and socio-cultural) - direct forces (immediate influence on daily work, ex. competitors, suppliers, customers), indirect forces (general influences on a business, ex. laws, economy, technology, sicio-cultural factors, and global factors)

systems theory: closed systems approach (vs. open system)

focusing on activities performed within the company/internal features as the only necessary factors of a company's success (however, companies are open systems and require external factors as well, similar to how any organism in nature operates with the help of its environment)

Joan Woodward - Fred Fiedler

found that different types of organizing were effective depending on the type of technology that an company used - found that effective leadership required a match between the leader's style and the situation

Charles Ford

found that positive thinkers were willing to take calculated risks because they saw the opportunities on the upside of a decision but negative thinkers were prone to look at threats and not take the risks

tall/vertical structures - flat/horizantal structures

has more layers of decision-making, making it take longer for decisions/communication to move up and down the hierarchy - has few or no levels of middle management

job rotation - job enlargement

having employees switch jobs periodically in order to avoid sloppy work in the mundane tasks - reducing specialization by distributing the little jobs among those who already do another job (to give them more variety in their work)

integration/coordination mechanisms

hierarchy/chain of command - rules/procedures - planning (goals/directions) - direct contact (informally talking with another manager/worker) - liaison role or department (a person/department who coordinates/communicates with other units) - task forces (a temporary group of people/areas of expertise which is usually focused on a specific problem/event) - matrix (should only be used where coordination and in-depth functional expertise are needed) - teams (a group of people working together) - self-directed teams (where the team is responsible for a finished product/service) - virtual/network organization/teams (managers assign work to project teams based on the issues/problems that arise, using employees and external specialized help)

span of management/control

how many subordinates report to one manager

nominal group technique (NGT)

individuals brainstorming by themselves, then writing down their ideas, then they share their ideas with the group

the progression of work

individuals produced craft-like products which they would sell - near the end of the dark ages cottage industries emerged where families worked together making products to sell - Industrial Revolution power sources made factories possible (1800s started as craftsmen or small mill operators, then turned into big factories) creating a greater need for organization/management

contingencies/exceptions

issues/problems that comes up which you are not readily prepared to handle without consulting authorities/supervisors

Industrial Revolution

latter part of 18th century in England, 19th century in the US. Power sources (first water, then steam) emerged

strategic plan - tactical plan - operational plan

long-term (the whole purpose/future of the company) - intermediate (2-5 year) - short term (less than 2 years)

social disregard - social obligation - social responsiveness - social responsibility

looking out for the company and ignoring cultural standards/values - fulfilling legal obligations (but not all cultural standards/values) - caring about public perception of the company and trying to make a good impression (being reactive, not proactive) - proactively trying to improve society through how the company operates

the "drive" system

motivating workers with force and threats (common during the late 19th and early 20th centuries)

(Michael) Porter's competitive forces

potential new entrants (some industries are easier to enter than others) - threat of substitute products (products which conveniently replace yours) - bargaining power of buyers (buyers can use information, ex. easily accessed price comparisons, to effect how you make your product) - bargaining power of suppliers (if there are very few companies who supply the same thing they have more negotiating power) - and rivalry among competitors (you have to stay "in the running")

framing

putting boundaries around a problem in order to more easily make a decision about it (looking at/focusing on the context)

brainstorming

rapidly mentioning ideas in order to generate more ideas through synergy

the Hawthorne studies

researchers from Harvard studied the impact of lighting on productivity in a manufacturing plant (Hawthorne Works, part of Western Electric) in suburban Chicago. regardless of how they changed (or didn't change) the lighting, productivity improved - extensive interviews were conducted with female workers while a different study did the same with male workers - the Hawthorne effect: as a result of studying something, the researcher interacts and changes it, the groups receive added attention, and this special treatment impacted performance more than the lighting changes - the informal system of group dynamics can sanction some behaviors and limit others

Frederick W. Taylor

scientifically studied a steel factory and helped them to improve efficiency by altering their procedures, and was a consultant. He advocated time and motion studies, hiring workers more suited to the job they perform, training workers in proper methods to maximize productivity, and paying workers more for exceeding an established performance standard in order to avoid "soldiering" (where workers intentionally slowed down their work pace) and promote cooperation (this pay system is now called a differential piece rate). He also encouraged having specialized departments to record cost information and process analysis (the planning department was the first of this kind and was a forerunner of personnel or human resource departments)

contingencies/circumstances which effect organizing

size - strategy (deciding your focus, this principle is based on Alfred Sloan's book that chronicled the emergence of General Motors) - technology (Joan Woodward found that differences in this caused sucessful companies use different structures: small-batch, large-batch, and continuous process, process-based technology often has big plants but few employees) - and environment (dynamic /unstable ones are more rapidly changing, complex ones have more variables/features that change)

(Richard) Hackman's worker motivation: meaningfulness - autonomy - complexity

skill variety (similar to job enlargement), task identity (workers do a whole piece of the job so it becomes more personal to them), task significance (how much the task impacts lives) - the freedom/independence to make and implement decision without consulting a supervisor (and getting feedback) - workers with higher-order/growth needs want enriched jobs, but those with lower order needs prefer simpler jobs

technical skills

skills related to and enabling a person to perform better on the job

areas for corporate social responsibility

social performance metrics (promoting trust and transparency by reporting/publishing standards, measurements, metrics, etc.) - social enterprise (business ventures designed to combine philanthropy and profit) - corporate engagement & governance (focuses on ethical responsibilities) - and environmental innovation (managing, not exploiting, the external environment)

SMART objectives

specific - measurable - achievable/attainable - relevant - and time-based/time-frame/deadlines

objectives

specific statements of intended outcomes (they are more specific than goals)

human relations movement/human research approach

started after the Hawthorne studies, and focused the manager's attention on worker satisfaction and the impact of supervision on the worker, the focus evolved into "keeping the workers happy" (based on the presumption known as the "pet milk theory" which means that content cows give better milk)

strategic planning process

steps: the highest level/senior managers define a mission statement for the company (the overall goal, which all other objectives/plans support, should set the company apart from competitors) - assessing current performance, mission, goals, and strategy - SWOT analysis (strengths, weaknesses, opportunities, threats) - develop new mission and goals - formulate strategy - and implement strategy

Henry Mintzberg

studied managers' work and discovered that managers do many different activities at a quick pace, and are often interrupted (multi-tasking). He identified 3 main categories of activities that managers do: processing information (monitor, disseminator, spokesperson) - establishing interpersonal contacts (leader, liaison, figurehead) - and making decisions (entrepreneur, disturbance handler, resource allocator, and negotiator)

time-and-motion studies

studying tasks to find the best way of carrying them out (this includes timing how long certain tasks take to do)

planning - organizing - leading- and controlling

the 4 functions of management (based on Henri Fayol's 5 functions): setting direction and how to get there - defining relationships among units and employees - motivating employees to achieve goals - and assessing performance and taking corrective action

conceptual skills

the ability to look at the "big picture" and how various factors will impact the company

business ethics

the beliefs about appropriate behavior in the workplace (the front-page standard is one way of determining if something is ethical: what if your decision/action was published on the front page of your local newspaper?)

corporate culture

the internal environment of a company, the set of values and beliefs shared by members about how work should be done and what is important, the informal processes/what is actually done instead of official procedures, it can be detected throught symbols (objects, uniforms, physical environment), language (slogans, jargon), narratives (stories, fiction or non-fiction, which are memorable and teach a lesson/embody beliefs), and practices (rites/activities for the audience's sake which acknowledge and reinforce values, ceremonies/several rites combined for an occasion, rituals/habits) companies should cultivate it to improve the company

line employees/managers - staff employees/managers

those who make a product or deliver a service (organised in a direct line of authority) - those who don't directly make the product, but who do office type work to keep the company running smoothly (ex. human resources or clerical), they are usually laid-off before those who work directly with the product

stakeholders

those with a vested interest in the performance of a manager or organization (ex. investors, suppliers, customers, the government getting taxes, and the local economy which is provided with jobs)

guidelines for effective group meetings

use meetings for the right purposes - distribute an agenda in advance - start on time and follow the agenda - control participation - push for decisions - assign responsibility for follow-up - appoint a process observer or seek feedback for how meeting can improve

contingency plan

used for unexpected events/problems (general plans or plans created for possible types of problems that may arise)

single-use plans/project - standing plans

used once, activities to achieve a specific purpose (ex. strategies are for long-term success) - used over and over again, guidelines (ex. policies) for handling recurring events, called SOPs (standard operating procedures)

benchmarking

using methods which other companies have learned to be successful (called best practices) instead of "reinventing the wheel"

Henri Fayol

was a French senior manager at a mining company who wrote his views on management down and was first published in 1916. The 5 functions he believed a manager performed (planning, organizing, comanding, coordinating, and controlling) was the basis for our 4 current funtions

Peter Drucker

was a management guru who defined effectiveness as "doing the right job," and defined efficiency (sometimes called the ratio of inputs to outputs) as "doing the job right." (He was the first to use the term "human resource management" in 1954)

social loafing

when some members do not participate (letting others do the work for them)

distributive justice - procedural justice

when the outcome of a decision is fair/reasonable in terms of what the individual expected to receive - when individuals accept a less than favorable outcome (low) if the procedures used to reach the decision were fair (ex. individuals participated in the decision making or there is a grievance or appeal process)

decentralized structures - centralized structures

where the authority for making decisions is at lower levels - where the authority for making decisions is at higher levels

contingency approach

which approach will be effective depends on the situation (ex. Joan Woodward's and Fred Fiedler's findings)

synergy effect

while sharing thoughts, one person's ideas stimulate another person to think about issues that would not have arisen if that person was working alone


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