Managment

Mintzberg organizational envoirments

1. either simple or complex 2. either stable or dynamic

Corporation

A company with the ability to act as a single person. It is a legal entity, and has its own rights, privileges, and liabilities which are distinct from those of its members.

Expectancy Theory

A person's motivation is based on three factors: how likely he believes his effort will lead to desired performance, if he believes his effort will lead to a greater reward, and how much value he places in this reward. A worker has to believe he can achieve goals, expect that achieving the goals will give him a reward, and value that reward.

PERT Network

A planning tool which involves breaking down steps to achieving a goal into a series of events. The events are represented as circles, or nodes, and connected by arrows which represent the time required to reach that event. Takes into account employee motiviation.

Programs

A single use plan Broad and long term may be made up of short term projects.

Human Resource Planning

An Organization must decide on whether to adopt a policy of promoting from within or to simply promote the best canidates it can find. The advantage of promoting from within is that it increases morale, but it restricts the pool of canidates.

Legitimacy

An organizations only exists as long as society considers the organization acceptable and useful. To maintain legitimacy a company often shows ethics.

Stakeholder

Anyone who can affect an organization or can be affected by it

Controlling

Assuring the organizational and managerial objectives are accomplished, concidered opposite of planning. Managers measure and observe how well the plans are working.

Human Relations Movment

Began with Elton Mayo and Fritz Roethlisberger's work in the Hawthorne Studies

Profitability

Benifit resulting from an activity

Most popular way to generate solutions

Brainstorming

Classical Principles of managment results in

Bureacratic or mechanistic organizations

Mechanistic Form or Organizatoin

Centralized, Hierarchiacal guided by rules and written procedures

During decision making conditions are assigned to the possible results of a decision, These conditions are

Certainty, Risk, Uncertainty. These are based on the probability of the result. Risk is 0-1 is known as an estimate.

Follett

Classical Managment theorist who focoused on how managers resolve conflicts. Pioneer of scientiv Managment. Advocated a collaborative approach to problem solving that emphasized compromise in the workplace.

Forcasting

Companies depend on econimic, technological, and sales forcasting for their plans

Cost Benefit Analysis

Comparison of the cost of an activity to its benefits. The total costs are calculated and then compared to how much revenue or other benefit will be gained.

Planning Process

Consists of developing the organizations mission, goals, solutions/strategies/alternitive course of action.

Peter Drucker

Defined 8 key results areas which every business organization should define goals for

Internal Bases

Departmentalize a company by fuction or product

Line Positions

Directly Related to purpose of an organization. For example in marketing sales is a line positions

Decisional Roles

Disturbance handler, resource allocator, negotiator

Fourth Priciple of Scientific Managment

Dividing the work between managers and workers. Managers determine the best way to do work and would then tell the workers exactly what to do.

Unity of Command

Each suborddinate should report to and be accountable to only one superior

Acceptance Theory

Effectiveness depends on whether or not the subordinates accept the authority over them. Oposes classical idea that authority is ordained by position.

Scalar Principle

Every Organization needs to have a clear line of authority from the top of the organization to the bottom. Also known as chain of command priciple.

Theory X and Theory Y

Explains two contrasting ways managers can view how employees are motivated and how this affects their managing style. Theory X views man as lazy. Theory Y sees motiviation as internal.

Barnard

Famous managment theorist who saw organizations in terms of the systems approach as an open system.

Fredrick Taylor

Father of Scientfic Managment

14 Principles

Fayol include: Unity of command, unity of direction, esprit de corps, authority being equal to responsibility, and others

Interpersonal Roles

Figurehead, leader, and liaison

Fayol

First to identify managment as a separate activity in a business. First defined fuctions of managment. Father of modern management, 14 principles.

Fayol's Administrative Management (Classical Managment and Administrative Management)

Focuses at the top.

Delphi Method

For technological forcasting devoloped by Rand Corp.

Adhocracy

Form of organization most appropriate for the performance of complex and uncertain tasks in a rapidly changing envoirment. Adhocracies are frequently referred to as virtual teams. Industries that like these are R and D, movie industry, advertising

Departmentation

Grouping together positions with their fuctions and responsibilities under other parts of the organization structure

Directing

Guding and influencing the employees to seek organizational; objectives, also known as leading involves getting the employees to work towards the organizations goal.

Economic Man

He chooses what meets the critrea. Uses strategy of optimizing

First Line Level Managers

Head Nurse, Foreman, and section head. Also known as supervisory managment

Rationality Theory

Herbert Simon, individuals pick the first choice that meet a predetermined acceptance criteara.

Three Phases in decision making

Herbert Spencer 3 phases 1. Intelligence 2. Design 3. Choice

To figure out right structure one must

Identify the envoirment

Gillbreths

In movie Cheaper by the Dozen, only one best way to do job.

Info Roles

Include being a monitor, disseminator, and a spokesperson

Standing plans

Incluse rules, procedures, policies-plans that are always in effect.

3 managers roles

Interpersonal, Informational, decisional roles.

External Bases

Involve departments divided based on geography and customers

Contingency Approach

Involves coming up with a mangament approach or combo of approaches to fit the situation. Based on the idea there is no single approach to mangement which is suitable for every situation.

Organizing

Involves dividing up work, establishing structure of authority and responsibilitiy grouping the resources and coming up with ways to coordinate parts. Dividing up woork, grouping resources, establishing a structure of authority, and coming with ways to coordinate the parts

Planning

Keeping things going according to plan. Defining goals and a purpose for the organization planning alternative courses of action and prepping for the future.

System 4

Leader of a group is often a subordinate ina higher decision making group. He is known as linking.

Strategic planning

Long Range planning comes after setting the goals. Highest levels of mangment does this

Strategic Plan

Long term plans, no set time bust usually happen more than one year into the future. The length of the peroid depends on how accurate the forcasting of the future business envoirment proves to be.

Systems Approach

Looks at an organizations in terms of its parts and how to interact with achother and the envoirment. An organization is divided into sub-systems and either classifies as an open systen which interacts with the envoirment or a closed system. Theorist s who believe in this typically think organizations are open systems.

Exception

Management should deal only with the exceptions, when the cases where their employees dont meet standards. By: Henri Fayol

8 Key Results Areas

Market Share, productivity, profitability, innovation, resources, worker performeance, manager performance, and social responsibility.

5 Types of Organization

Mintzberg-Machine Bureaucracy, divisionalized form, professional bureaucracy, the simple structure and adhocracy. Made because diffrent types are needed for different enviorments

Order of things

Mission statment 2. Setting of goals 3. Hiearchy of Plans

Functional Departmentation

Most common form of deparmentation. Positions are grouped based on a common organizational purpose or fuction. For example marketing, finance is fuctionally organized.

Hawthorne Studies

Most extensive investigations in managment ever performed. Experiment which six women were set to work assembling phone relay equipments, and lasted 2.5 years. Performence dependent on Psychological and social factors

Front Line Managers

Most technical knowledge, they supervise non-managment employees. Known as supervisionary managers.

Organic organization

No hierarchy less rigid informal

Scientific Mangment

Oldest type, associated with Taylor, Gantt, Gibrath. Finding the most efficient way to do a job through scientific analysis. Focuses primarily on the physical work instead of higher level managment

Mission

One of the first things done in the company sets an overall purpose for the organization.

Multi-National

Operates in more than one country

Productivity

Output divided by imput

Contingency Plan

Part of the operational planning process, involves anticipating what could wrong and preparing for it

Managment By Objectives

Participative style of management. Managers and employees establish objectives together.

Frank Gibreth

Pioneers of Scientific Manaagment Believed in determining the best, most efficient, fastest, and easiest way to do any job

Budget

Plan for use of reasources and expected results, usually based on a specific time peroid. Type of single use plans

Managment Fuctions

Planning, Organizing, Staffing, Controlling

Decion Making tools

Playoff Matrix, allows you to compare the possible benifits

Decision making part of the planning process consists of two part

Problem Solving and Decision Making

Reporting Relationship

Relationship between a superior and his subordinate

Four Types of Oganization based on Managment style

Rensis Likert stating that Sytem 4 organization should be the most efficient in achieving its goals.

Behavioral Approach

Revolves around human relations, emphasizes treatment of employees more than outfut or performance. Started with Hawthorne Studies

Line Authority

Right to act, ti make decisions, and to command. Wields authority over direct subordinates.

Staff Authority

Right to advise, or reccoment line personnel

First Principe of Scientific Mangment

Scientific Study of the work involved. A scientific study involves studying and observing the work to determine the most efficient way to accomplish it.

Second Priciple of Scientific mangement

Selecting the workers in a scientific manner for the kind of work to be done

Staffing

Selecting, placing, utilizing, and taking care of employees. Known as personnel managment

Performence Appraisals

Should evaluate employees in an objective sonsistent and fair way.

Organization Chart

Shows the authority relationships between the various psotions and departments in an organization.

Global Company

Specializes in one product which is sold all over the world

Two plans

Standing and single use

Primacy of Planning

States that planning bmust occur before other managment fuctions can take place

Staff Positions

Supposrt line positions ie Human reasources

Managers Skills

Technical, Interpersonal, Conceptual

Administrative Man Theory

The economic man is all knowing completely rational decision maker who finds the best possible choice. By Herbert Simon

Hierachy of Plans

The idea that planning is top-down

Unity of Direction

There should be one head and one plan for a group working towards an organizational objective. Everyone is working towards the same goal.

Third Principle of Scientific Mangement

Train workers in the most efficient methods for doing their work, and give them incentives for producing effciently.

Expectancy Instrumentality

Valence-Motiviation Forces=Expectancy x Intrumentality x Valance

Rolling plan

Variant of single use plan-involves log term plan which is updated at regular intervals

Fuctional Authority

Where staff managers have limited authority over subordinates of line mangers. Staff authority can only advise line positions.

Operational Planning

Where the detailed plans are made on how to execute the strategic planning. Also known as action planning, involves building on strategic plans. The strategic plans are broad and fairly general--the operational planning adds the specifics on how the strategy is to be carried out. Responsility is assigned to accomplish certain objectives.

Human Relations Approach

Workers treated as human beings.

Specialization

another term for division of labor, where employees carry out ativities thay are more qualified for and adept at performing. Also includes dividing work into simple tasks.

Managment by Objectives

is where an employees performance is determined by how well he achieves a number is set objectives. By: Peter Druker mangment does no necessarily tell the employee exatly what to do just what to accomplish.