Dr.

Constance Van Horne Spring 2011 Review for final

Four tasks of management:

1.

Planning

2.

Organising
Leading

Choose appropriate organisational goals and courses of action to best achieve those goals Establish task and authority relationships that allow people to work together to achieve organisational goals

3.

4.

Controlling

Motivate, coordinate, and energise individuals and groups to work together to achieve organisational goals
Establish accurate measuring and monitoring systems to evaluate how well the organisation has achieved its goals

Fayols Principles of Management

1.

2.
3. 4.

5.
6. 7.

Division of labour Authority and responsibility Unity of command Line of authority Centralisation Unity of direction Equity

Fayols Principles of Management

Order Initiative Discipline Remuneration of personnel Stability of tenure of personnel Subordination of individual interests to the common interests 14. Esprit de corps
8. 9. 10. 11. 12. 13.

Building competitive advantage:

Efficiency Innovation Quality Responsiveness to customers

Factors that maintain and transmit organisational culture:

Values of the founder Ceremonies and rites

Rite of passage Rite of integration Rite of enhancement Their own values guide the building of the company

Stories and language Socialisation

Communicate values... Provide clues...
The process by which newcomers learn the values and norms...

Steps in the decision making process:

1.

2.
3. 4.

5.
6.

Recognise the need for a decision Generate alternatives Assess alternatives Choose among alternatives Implement the chosen alternative Learn from the feedback

Entrepreneurs

An individual who notices opportunities and decides how to mobilise the resources necessary to produce new and improved goods and services *****

1. Develop personal mastery

4. Build shared vision

5. Encourage systems thinking

2. Build complex, challenging mental models

Senges principles for creating a learning organisation

3. Promote team learning

Three Steps in Planning Process

1. 2. 3.

Determine the organisations mission and goals Formulate strategy Implement strategy

SWOT Analysis
A planning exercise to identify strengths and weaknesses inside an organisation and opportunities and threats in the environment Strengths Weaknesses Opportunities Threats

Some SWOT questions to answer:

Product (what are we selling?) Process (how are we selling it?) Customer (to whom are we selling it?) Distribution (how does it reach them?) Finance (what are the prices, costs and investments?) Administration (and how do we manage all this?)

Five Forces Model (Michael Porter)

1.

The level of rivalry among organisations in an industry

More competition, lower the profits

2.

The potential for entry into an industry

Easier the entry, lower the profits ****

3.

The power of large suppliers

More powerful suppliers, lower the profits

4.

The power of large customers

More powerful the customers, lower the profits

5.

The threat of substitute products

More substitutes there are, lower the profits***

Value chain

The coordinated series or sequence of functional activities necessary to transform inputs such as new product concepts, raw materials, component parts, or professional skills into the finished goods or services customers value or want to buy ****

Functional activities of the value chain

Feed back loop (information and $)
Product development function Marketing function Materials management function Production function Sales function Customer service function

Changed into

Inputs
- New product ideas - Marketing research - Component parts

- Peoples abilities and knowledge - Machines - Computers - Functional skills

Outputs
- Goods -Services

The control process

1.

2. 3. 4.

Establish the standards of performance, goals, or targets against which performance is to be evaluated Measure actual performance Compare actual performance against chosen standards of performance Evaluate the result and initiate corrective action if the standard is not being achieved ***

Organisational change process

1.

Assess the need for change

Recognise that there is a problem Identify the source of the problem

2.

Decide on the change to make

Decide what the organisations ideal future state would be Identify obstacles to change

Organisational change process

3.

Implement the change

Decide whether change will occur from the top down or from the bottom up Introduce and manage change

4.

Evaluate the change

Compare pre-change performance with post-change performance Use benchmarking

The Nature of Leadership

Leadership: the process by which an individual exerts influence over other people and inspires, motivates, and directs their activities to help achieve group or organisational goals ***

The Nature of Leadership

Leader: an individual who is able to exert influence over other people to help achieve group or organisational goals ***

Power: the Key to Leadership

Legitimate power: the authority that a manager has by virtue of his or her position in an organisations hierarchy Reward power: the ability of a manager to give or withhold tangible and intangible rewards ****

Power: the key to leadership

Coercive power: the ability of a manager to punish others Expert power: power that is based on the special knowledge, skills and expertise that a leader possesses Referent power: power that comes from subordinates and coworkers respect, admiration and loyalty ****