Exam Preparation/ MANAGEMENT

1. Foundation of management

Manager= someone who coordinates and overseers the work of other people so that org. goals can be accomplished.

Importance of managers:

1. Efficiency: getting the most output from the least amount of inputs, also dealing ith the scarce resources.- resource usage (low)

2. Effectiveness: doing those work activities that will help the organization reach its goals.-goal attainment (high)

Management Functions:

1. Planning: define goals, establish strategies, develop plans to integrate, coordinate activities. (E.g. prepare week’s schedule)

2. Organizing: arrange, structure work to accomplish the goals. (E.g. Which tasks to be done?)

3. Leading: working with people to accomplish goals. (E.g. To keep employees motivated)

4. Controlling: monitor, compare, correct work (E.g. try to cut costs)

Management roles: (specific actions expected of a manager)

1. Interpersonal: involve people, duties that are ceremonial and symbolic in nature. (E.g. figurehead, leader, liaison)

2. Informational: collect, receive and disseminate info. (E.g. monitor, disseminator, spokesperson)

3. Decisional: make decisions/choices (E.g. entrepreneur, resource allocator)

Management skills:

1. Conceptual: ability to think about abstract & complex situations

2. Human: ability to work well with others

3. Technical: proficiency in a specific field, important esp. for the first line managers

2. History of management

Historical approach:

1. Ancient Egypt Example: Egyptians Pyramids, thousands of people were employed to construct the monuments. Strict managers ensured the plan to be done without delays.

2. Adam Smith: 1776, “Wealth of Nations”  he argued economic advantages that org. and people would gain from the division of labour, job specialization, which would afterwards increase the level of productivity.

3. Industrial Revolution: 18^th century  machine power was substituted for human power. Managers were needed to run the huge organizations.)

Classical approach:

1. Taylor, scientific management:

2. Use scientific methods to define “one best way” for a job to be done, have standardized method

3. Develop a science for individuals’ work, replace the old rule

4. Select scientifically, develop and train the worker

5. Make sure that the work is being done in accordance with principles of science

6. Divide responsibility and responsibility equally between management

3. Fayol:

• focuses more on what managers do and what constitutes to the good management, develop specific management principles that will apply almost everywhere. 14 principles:

1. Work division, 8) centralization

2. authority, 9) scalar chain

3. discipline, 10) order

4. unity of command, 11) equity(manager kindness)

5. unity of direction, 12) stability of personnel tenure

6. subordinate indiv. Interests, 13) initiative

7. remuneration (fair wages), 14) esprit de corps. (promotion of the team spirit)

4. Max Weber: theory of authority based on an ideal type of org. – bureaucracy (could hinder ind. Productivity, doesn’t respond quickly to the changing environment)

A bureaucracy should include:

• division of labour,

• hierarchy

• formal selection

• formal rules and regulations

• impersonality

• career orientation

Behavioural approach:

Org. behaviour- the field of study that researchers the actions (behaviour) of people at work. Managers should motivate, build trust, be leading, work with a team and manage conflicts.

Quantitative approach: - also called as Management science

• evolved from the mathematical and statistical methods developed to solve WW2 military logistics and quality control problems. (e.g. it applies logistics, computer software, linear programming to address different issues)

SYSTEMS vs. CONTIGENCY approach:

Systems approach	Contigency approach
Open Systems- take inputs and transform them into outputs that are distributed to their environments Closed systems – are not influence by and do not interact with their environment	Stays that no org. is unique and therefore it requires different ways of managing. “If….then…”

Example:

Human resources Employee work+management

Products and services production