ppm chapter 1

7/30/2019 PPM Chapter 1

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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 l ls?

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 ski 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 schedule

work

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 Rolesto develop and

maintain information network

The monitorseeks current information from

many sources.

The disseminatortransmits information to othersboth inside and outside the organization.

The spokespersonprovides official statements to

people outside the organization about company

policies, actions, or plans.


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I nterpersonal Rolespertain to

relationships with others

The figureheadengages in ceremonial

activities

The leadermotivates, communicates,

and influences subordinates.

The liaisondevelops relationships

outside his/her unit both inside andoutside the organization.


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Decisional Rolestomake choices

requiring conceptual & human skills.

The entrepreneurinitiates change.

The resource allocatorallocates resources

to achieve outcomes.

The negotiatorbargains for his/her unit.

The disturbance handlerresolves 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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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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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)


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What The 21st Century

Executive Should Be Like

Leader/Motivator

Consummate Politician

Master of Technology

Global Strategist

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