Principles of Management Ch.1 & 2
Peter Drucker:
"Knowledge workers" -- A person who primarily works with information or one who develops and uses knowledge in the workplace (ex. creating computer database program)
The contingency approach to management is best characterized by the short phrase
"it depends."
What are the 2 Systems Approach theorists:
- Chester Barnard - W. Edwards Deming
Chester Barnard :
- Cooperative Systems - Acceptance Theory of authority
What were the 3 big obstacles of the Productivity Problem:
1. Technical and behavioral problem with the meshing of workers and machines 2. Inexperience in the operation of organizations and factories that size 3. Widespread lack of management
What are the 3 levels of management:
1. Upper 2. Middle 3. Lower
What are the 3 types of general management skills:
1. interpersonal 2. technical 3. conceptual
What are the 3 specific roles that the Decisional role has within:
1.) Entrepreneur 2.) Disturbance handler 3.) Resource allocated 4.) Negotiator
What are the 3 specific roles that the Interpersonal role has within:
1.) Figurehead 2.) Liaison 3.) Leadership
What are the 3 types of management roles?
1.) Interpersonal roles 2.) Informational roles 3.) Decisional roles
What are the 3 specific roles that the Informational role has within:
1.) Monitor 2.) Disseminator 3.) Spokesperson
Synergy:
Ability of the whole system to equal more than the sum of its parts
The psychologist who developed the idea that human needs are arranged in a hierarchy of importance is
Abraham Maslow.
Efficiently:
Accomplishing the objectives with a minimum of resources
Electronics Business:
Achieving management goals through the use of the internet
Informational Roles:
Activities including -- reporting, preparing data, analysis, briefing, delivering mail, emailing, websites, making phone calls -- that focus on the data important for the decisions a manager needs to make
Decisional Role:
Activities that deal primarily with the allocation of resources in order to reach organizational objectives
Interpersonal Roles:
Activities that involve interacting with others who may be external or internal to the organization at a higher or lower level
You believe that America's health care system will fix itself if the government simply leaves it alone. Your belief would probably be supported by which of the following persons?
Adam Smith
What term describes the universality of management as a function that can be applied to all organizations?
Administrative management
System:
An arrangement of related or connected parts that form a whole
What is meant by capitalism?
An economic system wherein the natural laws of supply and demand and free competition within the marketplace will efficiently regulate the flow of resources within a society
For-Profit Companies:
Are owned wither privately by individuals or publicly by stockholders. Must pay taxes
Negotiation Skills:
Arriving a mutually acceptable joint decisions
Organizing:
Assigning responsibility to employees for task achievement to collaboratively achieve goals
Theory X
Assumption that people are naturally lazy and must be threatened and forced to work. Management must give direction and have control
Theory Y
Assuption that people are naturally wanting to work and capable of self-control. Seek responsibility
Values:
Basic beliefs that define success of employees in the organization
Sigmund Freud :
Claimed that individuals "transfer" relationships from their childhood onto work people in the present
What term describes accomplishing the objectives with a minimum of resources?
Efficiently
Which of the following refers to a practice whereby employees came to be viewed as informal groups of their own, with their own leadership and codes of behavior, instead of as just unrelated individual workers assigned to perform individual tasks?
Human-relations movement
IT managers :
Implement, maintain, and control technology applications
Acceptance Theory of authority :
In formal organizations authority flows up because decisions as to whether and order has authority lies in the person who receives the order
The industrial Revolution:
Increased work force and decreased workforce treatment
Managers:
Individuals who make decisions about the use of the organization's resources, and are concerned with planning, organizing, leading, and controlling the organizations activities so as to reach objectives
Leadership:
Influences the activities of individuals toward achievement of a goal
Leading:
Influencing and motivating others to achieve set goals
Soldiering :
Is the systematic slow down of workers with deliberate purpose of keeping their employers ignorant of how fast the work can actually be done
Which of the following refers to the field of management that includes the study and use of mathematical models and statistical methods to improve the effectiveness of managerial decision making?
Management science
Which of the following refers to a systematic statement, based on observations, of how the management process might best occur, given stated underlying principles?
Management theory
Entrepreneur Role :
Manager acts as the initiation and designer of changes within the work groups
Liaison Role:
Manager interacts with peers outside of the organization
Monitor Role:
Manager seeks information to detect problems or opportunities, obtain general knowledge about the work situation, and make necessary changes
21st Century Management :
Need for additional oversight and control to ensure ethical conduct and need to adapt quickly and make better use of workers talents and insights to secure competitive edge
What term describes institutions such as governments, social cause organizations, and religious groups that cannot retain earnings over expenses, do not have equity interests, and cannot be bought or sold?
Nonprofit organization
What term describes determining what the organization will specifically accomplish and deciding how to accomplish these goals?
Planning
What term describes the relationship of individuals, their rights, and their property to the state?
Political forces
Carl Jung:
Proposed the that people have individual differences and that such personality differences play and major role in how they work, deal with people, handle conflict
Behavior:
Results in actions, activities, and relationships in carrying out tasks
Artifacts:
Rites, rituals, routines, or ceremonies the company uses to show a more tangible example of expectations
Production and operations managers :
Schedule and monitor the work process that turns out the goods or services of the org,
What name is given to a theory within the classical approach that focuses on the improvement of operational efficiencies through the systematic and scientific study of work methods, tools, and performance standards?
Scientific management
Division of Labor:
Specialization, breaking a job into parts and then assigning those parts to a laborer
Upper Managers:
Spend most of their time planning and leading because they make decisions about overall performance and direction of the organization
Entropy :
Tendency of systems to deteriorate or break down over time
Karl Marx is mostly know for his writing in the book _______________
The Communist Manifesto
Productivity Problem:
The chaos that came along with industrial era
Conceptual Skills:
The intellectual abilities to process information and make accurate decisions about the work group and the job tasks
Technical Skills:
The knowledge and ability to accomplish the specialized activities of the work group
Which of the following characteristics relates to technical skills?
The knowledge and ability to accomplish the specialized activities of the work group
Spokesperson Role:
The manager provides information about the work group to those outside of the group
What term describes the assumption that people are naturally lazy, must be threatened and forced to work, have little ambition or initiative, and do not try to fulfill any need higher than security needs at work?
Theory X
If you manage people using a traditional method of strong direction and tight control, you probably believe in the managerial assumptions of
Theory X.
You install a televised surveillance system in your doughnut shop so that you can keep an eye on every single employee, even when you are in your office. Your behavior is best described by
Theory X.
Protestant Ethic:
They were starting to believe in an afterlife so they started to find a reason to work hard
Mary Parker Follett :
Though working in groups was overrated. Advocated for shared self-control in groups precursor to self - directed teams
Effectively:
Using resources in a way that produces a desired result
Oral Communication Skills:
Verbally presenting info to others in a manner that the info means the same to everyone
Behavioral Approach:
View of management that emphasizes understanding the importance of human behavior, needs, and attitudes within formal organizations
When Henri Fayol said that management's role is to "forecast and plan, to organize, to command, to coordinate, and to control," he was stating the
functional definition of management.
As defined in the text, organizations are groups of individuals who work together to achieve
goals and objectives important to them .
One of the significant conclusions that has been drawn from the Hawthorne studies is that
human relations and the social needs of workers are a critical variable in management.
Manager of the Boston Red Sox delivers a fiery speech just before the game about why it is critically important to beat the Yankees. He is
leading
Mass-production techniques of standardized products
lowered production costs, which led to lower prices and expanded markets.
When the manager of the accounting department has the knowledge to answer his employees' questions about current tax regulations, he is displaying
technical skills.
You work 90 hours a week because you are afraid of what will happen to you in the next life if you don't. You are a modern apostle of
the Protestant ethic.
One of Mary Parker Follett's major contributions to the behavioral approach to management was her stress on the importance of
work groups as an influence on worker behavior.
Management:
A set of activities designed to achieve an organizations objectives by using its resources effectively and efficiently on a changing environment
Management Theory:
A systematic statement of how the management process might best occur, given the underlying principles
Classical Scientific Management:
A theory that focuses on the improvement of operational efficiencies through the systematic and scientific study of work methods. tools, and performance standards
Figurehead Role:
Describes the formal activities in which the manager acts as a public figure
Initiative Skills
Determine what work activities must be pursed and starting on them
Planning:
Determining appropriate goals for the firm and deciding how to accomplish these goals
Problem Analysis Skills:
Determining why a situation does not confirm to standards and deciding what to do about it
Marketing managers:
Develop new strategies and make decisions about how to implement those strategies
Douglas McGregor:
Developed Theory X and Y
Finance managers :
Focus on obtaining the money needed for the successful operation of the organization and using the money in accordance with their organizational goals
Negotiator Role:
Focuses on reaching agreements with other outside of the work group on work-related issues
Persuasiveness Skills:
Influencing others who have different viewpoints to reach an agreement on an acceptable plan of action
In which role is the manager described as a "focal point" or "nerve center"
Informational role
You own a painting business in Minnesota. You watch the Weather Channel faithfully and schedule indoor painting for cold/wet days and outdoor painting for warm/dry days. You are using what management theory?
Contingency theory
Open System:
Continually interacts with its external environment and is well informed about changes in its surroundings
Tolerance of Stress Skills:
Continuing work performance in a adverse environment
Cooperative Systems
Cooperation requires acceptance and adoption of the group and the individual characteristics and abilities
What name is given to individuals who make decisions about the use of the organization's resources, and are concerned with planning, organizing, leading, and controlling the organization's activities so as to reach its objectives?
Managers
_____________ believied capitalism would collapse upon itself and socialism was the way to a prosperous culture.
Marx
Controlling:
Monitoring, evaluating, and maintaining desired performance
Katharine Cook Briggs and Isabel Briggs Myers:
Myers - Briggs personality test
IBM has recently rearranged various administrative divisions and departments. This activity can be classified into which major management function?
Organizing
Classical Management:
Stresses the managers role in a formal hierarchy of authority and focuses on the task, machines, and systems needed to accomplish the task
Bureaucracy:
THeory of management by office or position rather than based on person or rational authority
Disseminator Role:
The manager sends information from external sources to various parts of the work group and information from internal sources to those both internal and external to the organization
Political Forces:
The relationship of individuals, their rights, and their property to the state
Social forces:
The relationship of people to each other within a particular culture
Which of the following characteristics relates to social forces?
The relationship of people to each other within a particular culture
economic Forces:
The relationship of people to resources
Which of the following characteristics relates to controlling?
Those activities that an organization undertakes to ensure that its actions lead to achievement of its objectives
Systems Approach:
Views organizations and the environment as sets of interrelated parts to be managed as a whole in order to achieve a common goal
Cooperativeness Skills:
Working easily and well with others
The distinguishing feature of division of labor, or specialization, is that it
breaks a job into component tasks and assigns a component to each worker.
Drucker predicted that ______ would become increasingly important in the future, a prediction that became reality in the twenty-first century.
knowledge workers
In the systems approach to management, an open system is usually thought of as having
much interaction with the external environment.
Global organizations;
expanding business activities beyond national borders
Adam Smith is known for the theory what>
Capitalism
Implementation of work tasks:
Carrying out the work decisions
Decision Making:
Choosing among several courses of action to resolve a problem
Which of the following refers to using resources in a way that produces a desired result?
Effectively
Norms:
Expectations that dictate and clarify appropriate behavior
W. Edwards Deming
Integrate various aspects of workplace dynamics into an overall approach in which all dimensions of the formal organization and its environment are considered apart of the system
Closed system :
Interacts little with its external environment and receives little feedback from or about its surroundings
Stakeholder:
Is a person or group which can affect or is affected by an organization's goals or the means to achieve whose goals
Peter Senge:
Learning organizations
Resources:
People, equipment, finances, data
____ coined the term management by objectives in his 1954 work Practice of Management.
Peter Drucker
Middle Managers:
Receive broad statements of strategy and policy from upper level and develop specific objectives and plans
Social Responsibility:
Refers to an organizations ability to maximize its positive impact and minimize its negative impact on society
Organizational Culture:
Refers to the values, norms , and artifacts shared by members of an organization
Leadership Role:
Requires actions that define and direct the work activities of employees
The manager makes a decision about a course of action after analyzing several options. He or she is using
• conceptual skills
Henri Fayol's general principles :
- Division of work - Authority and responsibility - Discipline - Unity of Command - Unity in Direction - Remuneration of personnel - Centralization - Scalar Chain - Order - Equity - Stability - Initiative
Who were the classical scientific manager theorists :
- Frederick Taylor - The Gilbreths
What were the 2 Administrative Management theorists?
- Henri Fayol - Max Weber
What are the areas of management:
- Human resources management - Marketing managers - finance managers - Production and operations managers - IT managers
What are some specific skills that have been found to be helpful in a management position?
- Job knowledge - oral communication - persuasiveness - problem analysis - cooperativeness - tolerance of stress - negotiation - assertiveness - initiative
Job Knowledge Skill:
- Knowing the facts about the equipment, materials, and work process. - Knowing the relationships among all parts of the organization
Who were the Behavioral management theorists:
- Mary Parker Follett - Elton Mayo - Douglas McGregor - Sigmund Freud - Carl Jung - Katharine Cook Briggs and Isabel Briggs Myers
21st Century Management theorists:
- Peter Drucker -Peter Senge
Classical Approach has 2 components:
- Scientific - Administrative
Three types of forces that have influenced our ideas about management:
- Social - Economic - Political
What are the important trends that are affecting business today?
- e-buisness - global organization - ethics - social responsibility
Management is characterized by the following:
- leadership - decision making - implementation of work tasks
What are the 4 Basic management theories:
1. Classical 2. Behavioral 3. Systems 4. Contingency
4 Basic tenets of Capitalism:
1. Matural laws of supply and demand and free competition within the marketplace will regulate the flow of recourses within society 2. all individuals should have the right to accumulate wealth 3. All individuals should have the right to private ownership of property 4. Division of labor would lead to great productivity
What is an organization?
A group of individuals who work together to achieve the goals or objectives that are important to these individuals
Which of the following characteristics relates to the quantitative approach?
A viewpoint of management that emphasizes the application of mathematical models, statistics, and structured information systems to support rational management decision making
You have an employee-of-the-year award in your insurance business for the man or woman who consistently has the best attitude and gives the best service to your customers, as measured by their compliments. Which approach to management is your award based on?
Behavioral
Resource allocated Role:
Both protects and uses the units assets
You manufacture high-tech multicomponent widgets in a new factory in Illinois. Your production line has eight different work stations, and each worker operates a computerized assembler. Your assembly method produces a widget every ten minutes. Your new factory is making use of what approach to management?
Classical
Assertiveness Skills:
Clearly and consistently expressing a point of view on a topic being discussed
Interpersonal Skill:
Communication, listening, conflict resolution, and leading that are necessary to work with others
Learning organizations :
Companies that facilitate the learning go their members and continuously transform themselves
Which of the following refers to the intellectual abilities to process information and make accurate decisions about the work group and the job tasks?
Conceptual skills
Human resources management :
Concerned with developing and carrying out systems that are used to make decisions about employees (hiring, firing, training)
Lower Managers:
Concerned with direct production of items or delivery of service
Disturbance handler Role:
Deals with change forced on a manager by other factors
Max Weber:
Developed the theory of Bureaucracy
Frederick Taylor:
Development the scientific management theory. Stated that managers have the responsibility to discover the "Best Way"
The Gilbreths:
Discovered ways to increase efficiency through motion (to lay brick) and recommendation methods of reducing fatigue among workers
You own and operate your own hamburger stand. One of your employees makes the hamburger patties, a second grills them, a third slaps them in buns, and a fourth sells them to customers. You are utilizing what management concept or theory?
Division of labor, or specialization
Contingency Approach:
Emphasizes identifying key variables in each management situation, understanding relationships among these variables, and recognizing the complex system of cause and effect that exists in every managerial situation -- "it depends"
Administrative Management:
Emphasizes the universality of management as a function that can be applied to all organizations
You watch a painter paint a house, and you videotape her movements. Later, you make specific recommendations for reducing her painting motions so she can be more efficient, and you also design a movable ladder for her to reduce fatigue. You are a disciple of
Frank and Lillian Gilbreth.
Non-Profit Companies:
Frequently have several groups of individuals who have a major influence in setting the goals of the organization
Management Decision Making:
Gathering information, using information to reach a decision, and implementing the decision
Organizations:
Groups of individuals who work together to achieve the goals or objectives that are important to these individuals
Elton Mayo :
HAWTHORN EXPERIMENTS ; Discovered that social relationships and trust helped motivate employees to increase output. (Human -relations)
Effective use of an organization's resources means
achieving the intended result.
When Henry Mintzberg referred to the manager as the "nerve center" and the "focal point" in his or her organization, he was talking about the manager in
an informational role.