level of managers
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Chapter 1
Innovative Management
for a
Changing World
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What do Beaunit Mills, Hercules Powder,
and Liebmann Breweries have in
common?
On 1stFortune List (1955)
They Dont Exist Today
BAD Management
Not Keeping up the Good Work
Not adapting to Environmental Changes
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Management
The attainment of organizational goals inan effective and efficient manner throughplanning, organizing, leading, andcontrollingorganizational resources
Organization
A formally structured collection ofindividuals working toward common(shared) goals.
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Organizational Performance
Effectiveness : the degree to which theorganization achieves a stated goal
Efficiency : the use of minimal resources(input) to produce a desired volume of
output.
Efficient, but not Effective:
- Goals not achieved
Effective, but not Efficient- Wasted Resources
(You may have to choose between the two.)
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The Four Functions of
Management
PlanningSelect goals
& ways to
attain themOrganizing
Assign
responsibility
for tasks
Leading
Use
influence to
motivate
Control l ing
Monitor
activities &
make
corrections
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MANAGEMENT LEVELS AND
TIME SPENT ON FUNCTIONS
Plan. Organ. Lead. Control.
Top 28% 36% 22% 14%
Middle 18% 33% 36% 13%
Lower 15% 24% 51% 10%
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Management Skills
Conceptual Skills : cognitive ability to
see the organization as a whole and
the relationship among its partsHuman Skills : ability to work with
and through other people and to
work effectively as a group member
Technical Skills : understanding of and
proficiency in the performance of
specific tasks.
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Management Skills
Conceptual Skills CEO
VP VP VP
Mgr
Mgr Mgr
Mgr Mgr
Op Op OpOp Op
Which level needsconceptual ski l ls the
mos t?
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Management Skills
Human Skills CEO
VP VP VP
Mgr
Mgr Mgr
Mgr Mgr
Op Op OpOp Op
To what degree do variouslevels of management
need human ski lls?
ALL need h igh degree.
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Management Skills
Technical Skills CEO
VP VP VP
Mgr
Mgr Mgr
Mgr Mgr
Op Op OpOp Op
Least
To what degree do the
various levels need
techn ical sk i l ls?
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What Is It Like to Be a
Manager?
Managerial Activities
- Long hours
- Most time spent in oralcommunication
- Characterized by variety,
fragmentation, and brevity
- Fast paced and require ahigh energy level to be
successful
Managers give up the right
to:
- Be one of the gang
- Put your self-interest
first
- Ask others to do things
you wouldnt do
- Vent your frustrations
- Resist change
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Supervisors Responsibilities
Plan and schedulework
Clarify tasks and
gather ideas forimprovement
Appraise and counsel
employees
Recommend job
assignments and pay
Inform employees oforganizational goals
Inform highermanagers of workunit needs andaccomplishments
Recruit, train, anddevelop workers
Encourage andmaintain high andenthusiasm
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I nformational Roles to develop and
maintain information network
Themoni torseeks current information from
many sources.
The disseminatortransmits information to othersboth inside and outside the organization.
Thespokesperson provides official statements to
people outside the organization about company
policies, actions, or plans.
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I nterpersonal Roles pertain to
relationships with others
The figureheadengages in ceremonial
activities
Theleadermotivates, communicates,
and influences subordinates.
The liaison develops relationships
outside his/her unit both inside andoutside the organization.
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Decisional Roles tomake choices
requiring conceptual & human skills.
The entrepreneur initiates change.
The resource allocatorallocates resources
to achieve outcomes.
Thenegotiator bargains for his/her unit.
The disturbance handler resolves conflicts.
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How Do You Learn to Manage?
50% from job experience
30% from other persons
20% from education & training
(Based on study of successful managers atHoneywell)
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Successful Managers
Attributes
Leadership
Team-Building Skills
Self-objectivity
Analytic Thinking
Creative Thinking
Behavioral Flexibility
Oral Communication
Written
CommunicationPersonal Impact
Resistance to Stress
Tolerance ofUncertainty
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Some Types of Changes
Impacting Organizations:
Products
Technologies
Markets
Speed Requirements
Management Techniques
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Pre-Classical Management
Anything before about 1900:
e.g.,
Attila the Hun
Henry Towne
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Classical PerspectiveEmphasized a rational, scientific approach to study of
management and sought to make workers and
organizations like efficient operating machines
Classical Categories
Scientific ManagementFrederick Taylor
Frank and Lillian Gilbreth
Bureaucratic Organizations
Max Weber
Administrative Principles
Henri Fayol
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Scientific Management
Develop a standard method for performing
each job
Select appropriate workers
Train workers in standard method
Plan work and eliminate interruptions
Provide incentives for increased output.
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Bureaucratic Organizations
Clearly defined authority and
responsibility
Set procedures for each situation
Goals of fairness and efficiency
Separation of management and ownership
i.e., run by professional mgrs.
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Bureaucratic Organizations
Become dysfunctional
when:
-There is no effort to
recognize exceptions to
rules or to change rules
when necessary
-Enforcement of rules
takes precedence overpursuit of the
organizations mission
Relatively High in
Bureaucracy:
United Parcel ServiceU.S. Postal Service
Relatively Low in
Bureaucracy:
Hewlett-Packard
Disney Studios
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Administrative Management -
Henri Fayol
14 Principles
Unity of command
Division of workUnity of direction
Scalar chain-of-command
Authority=Responsibility
(etc.)
Five basic management
functions
PlanningOrganizing
Commanding
Coordinating
Controlling
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Humanistic Perspective
Emphasizes enlightened treatment of workers
and power sharing between managers and
employees.Emphasized satisfaction of employees
social/psychological needs as the key to
increased worker productivity.Supported by Hawthorne Studies
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The Hawthorne Studies
Social Man
Methodological Problems, but Profound
Influence on Management Thought
Hawthorne Effect
Interviewing Techniques
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The Human Resources
Perspective
Jobs should be designed to allow workers
to use their full potential
Abraham Maslows Hierarchy of Needs(Ch. 12)
Douglas McGregors Theory X vs. Theory
Y (comparison of Classical Mgmt toHuman Resources)
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Theory X
(Classical):People dislike work and
prefer to be directed
Must be coerced towork
Want to avoidresponsibility andhave little ambition
Want security aboveeverything
Theory Y (Human
Resources):
People will accept
responsibility
Have intellect thatcould be applied to
organizational goals
Only partially use theirintellectual potential.
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Behavioral Sciences Approach
= Applied Social Sciences
Study of human behavior in organizations
Draws on Disciplines of:
Economics
Psychology
Sociology
Communication
Anthropology
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Management Science
Perspective
Involves Mathematics, Computers
Examples:
Forecasting
Inventory control
Scheduling
Break-even analysis
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Total Quality Management
Emphasizes Continuous Improvement in
all Organizational Processes
(i.e., in more than Manufacturing)
21 C
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What The 21st Century
Executive Should Be Like
Leader/Motivator
Consummate Politician
Master of Technology
Global Strategist