Download - 05 - Management
PLANNING Defining Goals
Establishing strategy
ORGANISING Determining what needs to be, how it will be
done and by whom
LEADING Directing and motivating people
Resolving conflicts
CONTROLLING Monitoring activities, people and performance
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SKILLS Do managers need each skill in equal
amounts? How do those amounts differ?
Management as an art learn as you go,
either have it or not Management as a profession develop
through experience Management as a science apply strict set of rules and processes – implies it can be learnt
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Legal justification equates managers with: Owners of firm exercising owners property
rights. Assumption they speak for & fairly
represent owners.
“Justification only valid to extent that managers do not surrender prerogatives
traditionally associated with their role in the firm”
Legal justification raises issue of agency
theory: Where interests of managers & other
stakeholders are in conflict. Classic example is American company
ENRON.
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EXPERT Derived from knowledge specific to a particular task or
role
REFERRANT Derived from status idolisation of followers
REWARD & COERCIVE
Self-explanatory
LEGITIMATE Societal or work based power derived from position i.e.
ability to exercise managerial prerogative
EXPERENT/REFERRENT Most likely follower response = commitment
REWARD/LEGITIMATE Most likely follower response = compliance
COERCIVE Most likely follower response = resistance
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TQM Holistic approach to long-term success that views continuous improvement in all aspects of a firm as a process and not as a short term goal. Aims to radically transform the organisation
through progressive changes to attitudes, practices, structures and systems. Encompasses every aspect of a firm and every
function: administration, communication, distribution, manufacturing etc. Means
(1) Commitment and direct involvement of senior management (2) quality is everyone’s job
(3) Build quality into products from the beginning (4) Quality requires understanding internal and external
customers (5) Focus on commitment based supportive leadership (6) Minimise barriers between management & workers
(7) Flexible training programmes and meaningful performance management
KNOWLEDGE MANAGEMENT
Strategies and processes designed to identify, capture, structure, value, leverage and share an organisations intellectual assets to
enhance performance and competitiveness. Based on two critical activities (1) capturing and documenting individuals explicit and
tacit knowledge and (2) its dissemination within the organisation
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SCIENTIFIC MANAGEMENT Basically seeks maximisation of profit through machine AND worker
efficiency. Aims to achieve maximum job fragmentation to minimise skill requirements and therefore the time required to learn a particular job. Roles of workers to work and managers to plan keep strongly separate.
Time and motion, cost accounting, tool and workplace design key components of the workplace. Laid down the fundamental principles of
large scale assembly line manufacturing. BUT emphasised that process should maximise profits for the benefit of BOTH workers AND
management.
FORDISM A manufacturing philosophy that aims to achieve higher productivity by
standardising output using conveyor type assembly processes and breaking work down into small deskilled tasks. Different from Taylorism or Scientific
management in that it seeks to combine the worker and machine into a single unit and emphasises minimisation of costs rather than maximisation
of profits.
HAWTHORNES 3 STUDIES First Looked at effect of lighting levels on performance. Found that
lighting had minimal impact, unless so low you couldn’t see. 2nd One group given increasingly better conditions and privileges.
Productivity increased no matter what they were – due to Hawthorne effect.
3rd Built upon 2nd and identified role of social relations and norms in restricting productivity in groups.
Studies important because they demonstrated how much productivity is
affected by social aspects of work especially supervisor attention and group member relationships.
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PANOPTICON All seeing round the clock surveillance machine. Design ensured
that no prisoner could ever see the inspector who conducted surveillance from the central location. Prisoners never knew when they were being watched – mental uncertainty creates source of
discipline.
“The major effect of the Panopticon [was] to induce in the inmate a state of conscious and permanent visibility that assures the
automatic functioning of power. [It is set up] so to arrange things that the surveillance is permanent in its effects even if its is
discontinuous in its action; that the perfection of power should tend to render its actual exercise unnecessary… the apparatus
should be a machine for creating and sustaining a power relationship independent of the person who exercises it…”
(Foucault, 1975)
"He who is subjected to a field of visibility, and who knows it, assumes responsibility for the constraints of power; he makes
them play spontaneously upon himself; he inscribes in himself the power relation in which he simultaneously plays both roles; he becomes the principle of his own subjection“ (Foucault, 1995,
p.202)
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Theory X assumptions Workers are lazy, lack individual initiative, only
motivated by money, need to be controlled
Theory X organisations Use elaborate controls.
Motivate only with economic incentives. Managers role to ensure compliance.
Theory Y assumptions
Workers ambitious, capable of independent thought and initiative, motivated by extrinsic
as well as intrinsic factors.
Theory Y organisations: Integrate individual and organisational goals.
Latitude given to workers in terms of task performance.
Managers role to foster commitment.
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TASK BEHAVIOUR The extent that a leader engages in spelling
out the role of an individual or group Extent that a leader tells and individual or
group what, where, when and how to do the task
RELATIONSHIP BEHAVIOUR
Extent to which a leader engages in two-way communication, listening, supporting,
facilitating and giving psychological strokes.
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S1 – DIRECTING (Telling) Leaders define roles and tasks and supervise
them closely Decisions are made by the leader and
announced with mainly one way communication
S2 – COACHING (Selling)
Leaders still define roles and tasks but seek ideas and suggestions from the follower.
Decisions remain the leaders responsibility but communication links start to go two-way
S3 – SUPPORTING (Participating)
Leaders pass day-to-day decisions, such as task allocation and processes, to followers.
Leader facilitates and takes part in decisions, but control is delegated.
S4 – DELEGATING
Leaders are still involved in decisions and problem solving, but control is handed over. The follower now decides when and how the
leader will be involved.
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D1 Low readiness, unable, unwilling, uncommitted
and de-motivated e.g., new employees lacking in competence but
enthusiastic., focus on getting them started
D2 Low to moderate readiness, unable but willing and
motivated. e.g., competent but still relatively inexperienced
staff, or those starting a new role
D3 Moderate to high readiness, able but unwilling and
insecure e.g., staff whose competence means they don’t need much direction but some support to get
them to exercise their skills
D4 High readiness, able willing and confident
e.g., highly competent and confident staff able and willing to without on projects without direction
supervision
STYLES BEST USED WHEN… Directive need immediate action, to establish overall
direction, when personnel need clarity or are inexperienced.
Consultative with complicated problems, team implementation required, group members are experienced
and have complementary skills Delegative leader lacks time, task represents a singular problem, require exercise of group members specialised
skills
LEADERS ROLES & HOW THEY MAKE DECISIONS Directive Commander who sells their decision
Consultative Moderator who relies on group decision making
Delegative Facilitator & information source who delegates to individuals
RESPONSES EXPECTED FROM FOLLOWERS
Directive Obedience Consultative Ownership, initiative, mutual
accountability Delegative Individual initiative.
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