Management review 1

Characteristics of Weberian Bureaucracy:

Division of labor, with clear definitions of authority and responsibility. Positions organized in a hierarchy of authority Managers subject to rules and procedures that will ensure reliable, predictable behavior. Management separate from the ownership of the organization. Administrative acts and decisions recorded in writing. Personnel selected and promoted based on technical qualifications.

Managers:

Do more with less, engage hearts and minds, see change as natural, inspire vision and cultural values, allow people to create a collaborative and productive workplace. Example : Jon Bon Jovi managing his band

Scientific Management:

Emphasizes scientifically determined jobs and management practices as the way to improve efficiency and labor productivity. Frederick Taylor proposed that workers "Could be retooled like machines, their physical and mental gears recalibrated for better productivity.

Legal-Political:

Government regulations at the local, state, and federal levels, as well as political activities designed to influence company behavior.

Classical:

In the late 19th century, people began looking at management as a set of scientific practices that could be measured, studied, and improved with machinelike precision. Frederick Taylor wrote that "the best management is a true science, resting upon clearly defined laws, rules and principles."

Conceptual Skills

Include the cognitive ability to see the organization as a whole system and the relationships among its parts. It involves knowing where one's team fits into the total organization and how the organization fits into the industry, the community, and the broader business and social environment. It means the ability to think strategically, to take the broad, long-term view, and to identify, evaluate and solve complex problems.

Task Environment:

Includes those sectors that have a direct working relationship with the organization, among them customers, competitors, suppliers, and the labor market. Is closer to the organization and directly influence its basic operations and performance.

Informational:

Informational roles describe the activities used to maintain and develop an information network.

Interpersonal:

Interpersonal roles pertain to relationships with others and are related to human skills. * Figurehead role involves handling ceremonial and symbolic activities for the department or organization. *Leader role encompasses relationships with subordinates, including motivation, communication, and influence. *Liaison role pertains to the development of information sources both inside and outside the organization.

Human Skills

Involve the manager's ability to work with and through other people and to work effectively as a group member. Human skills are demonstrated in the way that a manager relates to other people, including the ability to motivate, facilitate, coordinate, lead, communicate, and resolve conflicts. A recent study found that the motivational skill of the frontline manager is the single most important factor in whether people feel engaged with their work and committed to the organization. Google found that technical expertise ranked dead last among a list of eight desired manager qualities, all of which were human skills related. People want managers who listen to them, build positive relationships, and show an interest in their lives and careers.

Definition of management:

Is the attainment of organizational goals in an effective and efficient manner through planning, organizing, leading, and controlling organizational resources.

Early Advocates:

Mary Parker Follett and Chester I. Barnard.

Organizing

Organizing activities and people. Involves assigning tasks, grouping tasks into departments, delegating authority, and allocating resources across the organization. Oprah Winfrey: Organizing was a key task for Oprah Winfrey as she tried to turn around her struggling start-up network, OWN. She repositioned executives, hired new ones, and cut jobs to reduce costs and streamline the company.

Slogans:

Phrases or sentences that succinctly express a key corporate value. Disney: "The Happiest place on earth"

Political:

Refer to the influence of political and legal institutions on people and organizations

Organizational Efficiency:

Refers to the amount of resources used to produce a product or service.

Sociocultural:

Represents the demographic characteristics, norms, customs, and values of the general population. Important sociocultural characteristics are geographical distribution and population density, age, and education levels.

Role:

Set expectations for a manager's behavior Every role undertaken by a manager accomplishes the functions of planning, organizing, leading and controlling.

Planning

Setting goals and activities

Deliberately Structured:

Tasks are divided, and responsibility for their performance is assigned to organization members. (Applies to both profit and non-profit organizations)

social entity

being made up of two or more people

New problems and the development of large,

complex organizations demanded a new approach to coordination, control, and a "new sub-series of economic man - the salaried manager - was born. Professional managers began developing and testing solutions to the mounting challenges of organizing, coordinating and controlling large numbers of people and increasing worker productivity. Thus began the evolution of modern management with the classical perspective.

Monitor

(Involves seeking current information from many sources),

Most Current Management Perspective:

Chart 2.1: The people-driven workplace, Social Business, The technology-driven workplace.

Decisional:

Decisional roles pertain to those events about which the manager must make a choice and take action.

Goal-directed:

Designed to achieve some outcome. (A profit, a pay increase for members, meet spiritual needs, provide social satisfaction)

(Science method) Major Criticisms:

Did not appreciate the social context of work and higher needs of workers, Did not acknowledge variance among individuals, Tended to regard workers as uniformed and ignored their ideas and suggestions

Disseminator, Spokesperson.

(These two are the opposite of the monitor. The manager transmits current information to others, both inside and outside the organization, who can use it.)

Gannt Chart

A bar chart that measures planned and completed work along each stage of production by time elapsed created by Henry Gannt.

Bureaucratic Organizations:

A systematic approach developed in Europe that looked at the organization as a whole. Max Weber, a German theorist, introduced most of the concepts on bureaucratic organizations. Weber envisioned organizations that would be managed on an impersonal, rational basis. Organization depends on rules and records.

Organization

An organization is a social entity that is goal-directed and deliberately structured.

Efficiency and Effectiveness in Management

Based on our definition of management, the manager's responsibility is to coordinate resources in an effective and efficient manner to accomplish the organization's goals.

Boundary Spanning Roles:

Boundary Spanning links to and coordinates the organization with key elements in the external environment. One area of boundary spanning is the use of Business Intelligence, which results from using sophisticated software to search through internal and external data to spot patterns, trends, and relationships that might be significant. Another area is Competitive Intelligence, which refers to activities to get as much information as possible about one's rivals. Another Area is Big Data Analysis

The Humanistic Perspective:

Emphasized the importance of understanding human behaviors, needs, and attitudes in the workplace, as well as social interactions and group processes.

Involvement Culture

Emphasizes an internal focus on the participation of employees to adapt rapidly to changing needs from the environment. This culture places a high value on meeting the needs of employees, and the organization may be characterized by a caring, family-like atmosphere.

Controlling

Establishing targets and measuring performance. Involves monitoring employee's activities, determining whether the organization is moving toward its goals, and making corrections as necessary. (One trend in recent years is to place less emphasis on top-down control and more emphasis on training employees to monitor and correct themselves.

Internal and External Environment:

External: Includes all elements existing outside the boundary of the organization that have the potential to affect to organization. It includes competitors, resources, technology, and economic conditions that influence the organization. External has 2 components: Task and General.

Heroes:

Figures who exemplify the deeds, character, and attributes of a strong culture. Heroes are role models for employees to follow. Heroes with strong legacies may continue to influence a culture long after they are gone.

The Gilbreths:

Frank Gilbreth pioneered time and motion study and arrived at many of his management techniques independent of Taylor. He stressed efficiency and was known for his quest for the one best way to do work. His work had great impact on medical surgeries by drastically reducing operating time.

Chester I. Barnard:

His significant contributions was the concept of the informal organization. The informal organization occurs in all formal organizations and includes cliques, informal networks, and naturally occurring social groupings. He stressed that informal relationships are powerful forces that can help the organization if properly managed. Another significant contribution was the acceptance theory of authority, which states that people have free will and can choose whether to follow management orders.

Today's Effective Manager:

Is an enabler who helps people do their best, is "future-facing"( They design the organization and culture to anticipate threats and opportunities from the environment, challenge the status quo, and promote creativity, learning, adaptation, and innovation), and employs an empowering leadership style.

Technical Skills:

Many managers get promoted to their first management jobs because they have demonstrated understanding and proficiency in the performance of specific tasks, which is referred to as technical skills. Also Include: Mastery of the methods, techniques, and equipment involved in specific functions such as engineering, manufacturing, or finance. Specialized knowledge, analytical ability, and the competent use of tools and techniques to solve problems in that specific discipline. Technical skills are particularly important at lower organizational levels. (But become less important than human and conceptual skills as managers move up the hierarchy. David Sacks: founder and CEO of Yammer had to step back and let his team work on the apartment. )

Theory X and Y:

McGregor formulated theories X&Y. Theory X assumptions: The average human being has an inherent dislike of work and will avoid it if possible. Because of this, most people must be coerced, controlled, directed or threatened with punishment to get them to put forth adequate effort toward the achievement of organizational objectives. (2) The average human being prefers to be directed , wishes to avoid responsibility, has relatively little ambition, and wants security above all. Theory Y: The point of theory Y is that organizations can take advantage of the imagination and intellect of all of their employees.

Leading

Motivating, communicating with, and developing people. Involves the use of influence to motivate employees to achieve organizational goals. Leading means creating a shared culture and values, communicating goals to people throughout the organization and infusing employees with the desire to perform at a high level. Sergio Marchionne: The CEO of the Chrysler group spends 2 weeks every month in Michigan meeting with executive teams from sales, marketing, and industrial operations to talk about his plans and motivate people.

Skills of Managers at All Levels:

Necessary skills for managing a department for an organization can be placed in three categories: Conceptual, Human and Technical

As one aspect of of his decisional role,

New York City Police Commisioner Raymond W. Kelly allocates resources such as money, technology, and the time of street cops and investigators.

Common Management Failures:

Not listening to customers Inability to motivate employees Not building teams Inability to create cooperation Failure to clarify performance expectations Poor communication and interpersonal skills

Values:

Not observable, but can be discerned by how people explain or justify what they do. Values can be be interpreted from the stories, language, and symbols, that organization members use to represent them.

Economic:

Represents the general economic health of the country or region in which the organization operates. Consumer purchasing power, the unemployment rate, and interest rates are part of an organization's economic environment.

Significance of Corporate Value:

Research Conducted by a Stanford University professor indicates that the one factor that increases a company's value the most is people and how they are treated.

What Mistakes Managers Make:

Shortcomings become most apparent under conditions of rapid change, uncertainty, or crisis. If managers do not communicate effectively, including listening to employees and customers and showing genuine care and concern, organizational performance and reputation suffer.

Culture

The Set of key values, beliefs, understandings, and norms shared by members of an organization. Culture is a pattern of shared values and assumptions about how things are done within the organization. Culture is the glue that holds an organization together.

Performance:

The attainment of organizational goals by using resources in an efficient and effective manner

Organizational Effectiveness:

The degree to which the organization achieves a stated goal; Means providing a a product or service that customers value.

General Environment Dimension:

The dimensions of the general environment include international, technological, sociocultural, economic, legal-political and natural. General Environment affects organizations indirectly.

Technological:

The general environment includes scientific and technological advancements in a specific industry, as well as in society at large. Tech advances drive competition and help innovative companies gain market share.

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The human resources perspective maintained an interest in worker participation and considerate leadership but shifted the emphasis to considering the daily tasks that people perform. In the Human resources view, jobs should be designed so that tasks are not perceived as dehumanizing or demeaning but instead allow workers to use their full potential. Two of the best known contributors to the human resources perspective were Abraham Maslow and Douglas McGregor.

Technology-Driven Workforce:

The newest business technology is big data analytics, which refers to technologies, skills, and processes for searching and examining massive, complex sets of data that traditional data processing applications cannot handle to uncover hidden patterns and correlations.

Functions of Management:

There are 4 fundamental management functions. Managers perform numerous and varied task but they can all be categorized within these four primary functions. ( Planning, Organizing, Leading, Contolling)

Top Ten Manager Roles:

These roles are divided into three conceptual categories: Informational (Managing by information), interpersonal (managing through people), and decisional (Managing through action).

Consistency Cultur

Uses an internal focus and a consistency orientation for a stable environment. Following the rules and being thrifty are valued, and the culture supports and rewards a methodical, rational and orderly way of doing things.

Human Relations Movement:

Was based on the idea that truly effective control comes from within the individual worker rather than from strict, authoritarian control. (Hawthorne Effect) The Human relations movement stated that satisfied workers will produce more work.

Lillian Gilbreth:

Was more interested in the human aspect of work. "First lady of Management" made substantial contributions to human resource management.

Weber

Weber believed that an organization based on rational authority would be more efficient and adaptable to change because continuity is related to formal structure and positions rather than to a particular person who may leave or die. To Weber, rationality in organizations meant employee selection based on competence and technical qualifications, which are assessed by examination or according to specific training and experience.

Stories:

a narrative based on true events that is repeated frequently and shared among organizational employees. Stories paint pictures that help symbolize the firms vision and values and help employees personalize and absorb them.

Benchmarking:

a term now often used to describe performance assessment is benchmarking which seeks to assess the competencies of an organization against "best in class" wherever that is to be found.

Symbol:

an object, act, or event that conveys meaning to others.

Adaptability Culture:

emerges in an environment that requires fast response and high-risk decision making. Managers encourage values that support the company's ability to rapidly detect, interpret, and translate signals from the environment into new behaviors.

Disturbance Handler role

involves resolving conflicts among subordinates or between the manager's department and other departments.

Achievement Culture

is suited to organizations concerned with serving specific customers in the external environment, but without the intense need for flexibility and rapid change. This results-oriented culture values competitiveness, aggressiveness, personal initiative, cost cutting, and willingness to work long and hard to achieve results.

Negotiator role

is to represent team or department's interests; represent department during negotiation of budgets, union contracts, purchases.

Entropy:

lack of order or predictability; gradual decline into disorder.

Resource Allocator role

pertains to decisions about how to assign people, time, equipment, money, and other resources to attain desired outcomes.

Social

refer to those aspects of a culture that guide and influence relationships among people.

Entrepreneur

role involves the initiation of change.

Forces that Effect Managing in the External Environment:

social, political, legal and technological

external components

task and general

Mary Parker Follett:

wrote of the importance of common superordinate goals for reducing conflict in organizations. Her approach to leadership stressed the importance of people rather than engineering techniques. Follett addressed issues such as ethics, power, and leading in a way that encourages employees to give their best.