Leadership vs Management in Organizations

• Leadership is creating purpose in a fast-changing environment.
• Motivating through change is essential for many roles.
• Faster leadership skills are needed at every level of an organization to deliver results.

Leaders

• Innovate
• Focus on people
• Encourage trust
• Have a long-run view
• Ask what and why
• Have eyes on the horizon of possibility
• Originate
• Challenge the status quo
• Do the right thing

Managers

• Administrative/control
• Focus on system
• Rely on control
• Have a short-run view
• Ask how and when
• Have eyes on the bottom line and result
• Make the first move
• Accept the status quo
• Do things right

Elements of Organization

• Chain of command requires employee to have only one direct superior.

Span of Control (Supervision)

• Number of people who report to one manager in a hierarchy.
• Span of control can be directed efficiently and effectively.
• A wide span of control means more people under one manager.
• A narrow span of control means less people under one manager.

Departmentalization

• Functional departmentalization groups employees based on work performed in marketing, finance, production.
• Product departmentalization groups employees based on major product areas in cosmetics, clothing, appliances.
• Geographical departmentalization groups employees based on location served, for example, central, northeast, southwest.
• Process departmentalization groups employees based on the basis of work or customer flow in receiving, sewing, shipping.
• Customer departmentalization groups employees based on customer problems and needs in government, industrial, consumer sectors.

Staffing

• Job design determines the specific tasks to be performed.
• Reengineering fundamentally rethinks and radically redesigns business processes for dramatic improvement in critical measures like cost, quality, service, and speed.
• Job rotation is a job design technique where employees move between two or more jobs in a planned manner.
• Job analysis identifies job descriptions and job specifications.

Job analysis

• Job descriptions include tasks, duties, and responsibilities that make up the job.
• Job specifications outline knowledge, skills, and abilities needed to perform the job.

Selection Process

• Managers need to find qualified applicants for the position and good performers.
• Selection involves tools to sort out job applicants.
• These tools include the interview and background information, performance tests, physical ability tests, and references.

Selection tool Assessments

• Reliability measures the degree to which a tool or test measures the same thing each time it is administered.
• Validity measures the degree to which the test predicts performance on the tasks or job in question.

Training and Development

• Training focuses on teaching employees how to perform their job and improve knowledge and skills.
• Development focuses on improving skills and knowledge.

Effective Performance Feedback

• Managers must provide subordinates with performance feedback to motivate and encourage high performance.
• Managers can use formal and informal appraisals.

Formal Appraisals

• Systematic and conducted at set times during the year.
• Based on performance and is every 6 months or every year, dictated by company policy.
• Meeting between the manager and subordinates, in which subordinates is given feedback on his performance.

Informal Appraisals

• Conducted whenever the supervisor feels it's necessary.
• Takes into account the day-to-day working relationship between managers and employees to evaluate performance.