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.