MG CH 1-4 Exames

open system

a system that takes in resources from its external environment and converts/ transforms them into goods and services that are sent back and then bought by customers

controlling

ability to measure performance accuracy and policy

input stage

acquires resources like materials money and works

human relations movement

advocates that supervisors be behaviorally trained to manage subordinates in ways that elicit their cooperation and increase their productivity

equity

all organizational members are entitled to be treated with justice and respect

organizational structure

system of task/reporting relationships that coordinate members to work together.. how resources are best used

entropy

tendency of closed system to lose ability to control itself so it dissolves and disintegrates

organizational behavior

the study of the factors that have an impact on how individuals and groups respond to and act in organizations

informational organization

the system of behavioral rules and norms that emerge in a group

remuneration of personnel

the system that managers use to reward employees should be equitable for both employees and the organization

scientific management

the systematic study of relationships between people and tasks for the purpose of redesigning the work process to increase efficiency Frederick W. Taylor

why are managers a vital stakeholder group

they are responsible for using a company's financial, capital, and human resources to increase performance and stock price

core competency

used to refer to departmental skills, knowledge, experiences that allows one organization to outperform its competitors

efficiency

when quantity of resources reduced

why do shareholders have a claim on company

when they buy its stock or shares, they become owners want to maximize return on investment

global organizations

organizations that operate/compete in more than one country

Evolution of Management Theory

-Scientific Management Theory -Administrative Management Theory -Behavioral Management Theory -Management Science Theory -Organizational Environment Theory

types of company stakeholders

-Stockholders -Managers -Customers -Community, society and nation-state -Suppliers and distributors -Employees

Henri Fayol

14 principles of management

adam smith

18th century economist found mass production and job specialization

department

A group of people who work together and possess similar skills or use the same knowledge, tools, or techniques to perform their jobs

organizational performance

A measure of how efficiently and effectively a manager uses resources to satisfy customers and achieve organizational goals.

effectiveness

A measure of the appropriateness of the goals an organization is pursuing and the degree to which the organization achieves those goals.

closed system

A self-contained system that is not affected by changes in its external environment. Likely to experience entropy and lose its ability to control itself

unity of command

An employee should receive orders from only one superior

Contingency Theory

Burns and Stalker said that there is no best way to organize. characteristics of environment determine orgs structure and control systems

management science theory

Contemporary approach to management that focuses on the use of rigorous quantitative techniques to help managers make maximum use of organizational resources to produce goods and services. 3 branches- quantitative, operations, and management info systems

conversion stage

organizations workforce transforms inputs into outputs using tools techniques and machinery

max weber

Developed the principles of bureaucracy-- a formal system of organization and administration designed to ensure efficiency and effectiveness.

Interpersonal Roles

Figurehead, leader, and liaison roles involve dealing with other people.

ethics vs laws

Laws are society's values and standards that are enforceable in the courts- specify sanctions or punishments Ethics are the moral principles and values that govern the actions and decisions of an individual or group ethical beleifs change as time passes and laws change to reflect the changing ethical beleifs of a society ethical beliefs lead to the development of laws and regulations to prevent behaviors and laws change or disappear as ethical beliefs change

esprit de corps

Managers should encourage the development of shared feelings of comradeship, enthusiasm, or devotion to a common cause.

weber's principles of bureaucracy

Principle 1: Formal authority derives from one's position inside the organization. Principle 2: Individuals occupy positions because of their performance. Principle 3: Each individual's authority and responsibilities are specified by the organization. Principle 4: Authority is exercised effectively when positions are arranged hierarchically. Principle 5: Rules of the organization are followed and control individual behavior.

behavioral management- mary parker follett

The study of how managers should personally behave to motivate employees and encourage them to perform at high levels and be committed to the achievement of organizational goals. job analysis

norms

Unwritten, informal codes of conduct that prescribe how people should act in particular situations and are considered important by most members of a group or organization

Total Quality Management (TQM)

a comprehensive approach - led by top management and supported throughout the organization - dedicated to continuous quality improvement, training, and customer satisfaction analyzing input, conversion, and output activities

hawthorne studies

attempting to investigate how characteristics or work setting affect worker fatigue and performance ex lighting or illumination

mechanistic structure RESTS ON THEORY X

authority is centralized at the top of the managerial hierarchy and the vertical hierarchy of authority is the main means used to control subordinates behavior.

organic structure RESTS ON THEORY Y

authority is decentralized to middle and first line managers to encourage them to take responsibility and act quickly to pursue scarce resources

centralization

authority should not be concentrated at the top of the chain of command/managerial hierarchy

Theory X

average employee is lazy, dislikes work. managers should supervise employees and create work rules and system of rewards and punishments to ensure they work hard

managers all work in organizations

collections of people who work together and coordinate actions to achieve variety of goals or desired future outcomes

types of managerial skilss

conceptual skills- analyzing a situation and to distinguish between cause and effect human skills- understand, alter, lead, control. communication, coordination, motivation ex feedback from employees technical skills- job specific skills required to perform a particular job ex restaurant manager should know how to bookread

how can companies act ethically towards employees

create an organizational structure that fairly and equitably reward employees for their contribution. ex developed recruitment and training and reward systems

top manager

cross-departmental responsibility, establish goals, decide interaction of different departments ex ceos coos vice principals

First-line managers (supervisors)

daily supervision of the nonmanagerial employees who perform the specific activities necessary to produce goods and services ex head nurse, chief mechanics

relay assembly test experiments

designed to investigate effects of other aspects of work context on job performance like number of rest periods

four building blocks of competitive advantage

efficiency, quality, innovation, responsiveness to customers

Theory Y

employees are not lazy. managers must give them opportunities to show initiative and self-direction. decentralizing authority

total quality management

employees are organized into quality control teams and have to find better ways to perform their jobs; monitor and evaluate quality of goods they produce

Subordination of individual interest to common interest

employees should understand how their performance affects the whole organization

Decisional Roles

entrepreneur, disturbance handler, resource allocator, negotiator

dynamic capabilities

explains how companies must be stable to deliver value yet resilient and flexible when different approach needed

middle managers

find ways to help first-line managers/nonmanagerial employees to better use resources to reduce costs/improve customer service, evaluate goals and suggest to top managers how goals should be changed ex principal

levels of managers

first-line managers, middle managers, top managers

rules

formal written instructions that specify actions to be taken under different circumstances to achieve specific goals

management info systems MISs

gives managers details about events inside and outside environment

operations management

gives managers set of techniques to analyze aspect of organizations production system to increase efficiency

self managed work teams

groups of employees who assume responsibility for organizing, controlling, and supervising their own activities and monitoring the quality of goods and services they provide

stakeholders

groups of people who may be benefit or be harmed by how managers make decisions that affect them

management science theory

help managers measure and control organizational performance

flexibility

how easily they can change or alter the way they perform their activities to respond to actions of their competitors

speed

how fast companies can bring new products to the market

Behavorial Management Theory

how managers should lead and control their workforces to increase performance

examples of turnaround management

how to reduce the number of products sold or change how they are made or distributed, or close corporate and manufacturing operations to reduce costs

administrative management theory

identifying principles that will lead to the creation of the most efficient system of organization and management

organizations of an open system

input stage, conversion stage, output stage

authority

is the power to hold people accountable for their actions and make decisions concerning the use of organizational resources

division of labor

job specialization and division of labor should increase efficiency

Stability of tenure of personnel

long-term employees develop skills that can improve organizational efficiency

empowerment

management technique that involves giving employees more authority and responsibility over performance

leading

managers create vision and motivate employees so everyone understands their tasks

authority and responsibility

managers have the right to give orders and the power to exhort subordinates for obedience

discipline

managers need to create a workforce that strives to achieve organizational goals

Initiative

managers should allow employees to be innovative and creative

scientific management theory

matching people and tasks to maximize efficiency after industrial revolution

quantitative management

mathematical techniques like simulation and modeling to help organization decide how to invest capital

efficiency

measure of how productively resources are used to achieve a goal minimizing input resources to produce higher output of goods/services

Informational Roles

monitor, disseminator, and spokesperson - managers receive and communicate information

output stage

org releases outputs to environment where customers can purchase

synergy

performance that gains result from combined actions of individuals and departments only possibly in organized system. whole is greater than sum of its parts

Four Tasks of Management

planning- choosing organizational goals and courses of action to achieve them organizing- establishing task and authority relationships allowing people to work together leading- motivate, coordinate, energize people to achieve goals controlling- establishing accurate measuring/monitoring systems for systems for evaluation of completion of goals

changes in management practices

restructuring- simplifying, shrinking, downsizing operations to lower operating costs ex eliminating product teams outsourcing- contracting with another company usually low cost country abroad; lowers operating costs, frees up money and resources for business

Three managerial activities to make dynamic process

sensing, seizing, and transforming

Standard Operating Procedures (SOPs)

specific sets of written instructions about how to perform a certain aspect of a task

hawthorne effect

suggest that workers attitudes toward their managers affect level of workers performance

stakeholders

supply a company with its productive resources so they have a claim and stake in company

competitive advantage

the ability of one organization to outperform other organizations because it produces desired goods or services more efficiently and effectively than they do

order

the arrangement of organizational positions should maximize organizational efficiency and provide employees with satisfying career opportunities

time and motion study in scientific management

the careful timing and recording of the actions taken to perform a particular task

turnaround management

the creation of a new vision for a struggling company using a new approach to planning and organizing to make better use of a company's resources allowing it to thrive

ethics

the inner guiding moral principles, values, and beliefs that people use to analyze or interpret a situation and then decide what is the right or appropriate way to behave

line of authority

the length of the chain of command that extends from the top to the bottom of an organization should be limited

unity of direction

the organization should have a single plan of action to guide managers and workers

management

the planning, organizing, leading, and controlling of human and other resources to achieve organizational goals efficiently and effectively

job specialization

the process by which a division of labor occurs as different workers specialize in tasks

innovation

the process of creating new or improved goods and services or developing better ways to produce or provide them

ethical dilemma

the quandary ppl find themselves in when they have to decide if they should act in a way that helps another person and is the right thing to do even if it goes against their own self interest people decide in a way that might help another person even if doing so goes against self interest

Organizational Environment

the set of forces and conditions that operate beyond an organization's boundaries but affect a manager's ability to acquire and utilize resources ex raw materials and skilled ppl

administrative managemenet

the study of how to create an organizational structure and control system that leads to high efficiency and effectiveness