Management: Planning, Organizing, Leading, Controlling

Chapter 1 Pre-Lecture

• The key to career growth involves doing things never done before.
• Planning involves setting goals and deciding how to achieve them.
• Organizing is arranging tasks, people, and resources to accomplish work.
• Leading is motivating, directing, and influencing people to achieve organizational goals.
• Controlling monitors performance, compares it with goals, and takes corrective action.

Management

• Management is getting things done through people and integrating their work via planning, organizing, leading, and controlling an organization's resources.
• Effectiveness means achieving results and making the right decisions
• Efficiency means using resources wisely and cost-effectively.
• Managers influence throughout the organization, which is known as the multiplier effect, which goes beyond the results of one person.
• Studying management provides an understanding of how to deal with organizations from the outside and relate to supervisors.
• Practicing management provide a sense of accomplishment, magnify abilities, build catalogs of successful products, and offer opportunities to mentor.

Levels of Management

• Top managers make long-term decisions and establish the overall direction, objectives, policies, and strategies for the organization.
• Middle managers implement the policies/plans of top managers and supervise first-line managers.
• First-line managers make short-term operating decisions, and direct the daily tasks of non-managerial personnel.
• Team leaders facilitate team member activities to meet goals.
• Non-managerial employees work alone or with others on a variety of teams.
• Functional managers manage one activity.
• General managers manage several activities.
• Managers in for-profit organizations make money.
• Managers in non-profit organizations offer services
• Managers in mutual-benefit organizations aid members.

Managers Roles

• Managers are always working, in demand, and spend most work time communicating.
• Three types of managerial roles: interpersonal, informational, decisional

Interpersonal managerial roles:

• Figurehead roles show visitors around, attend employee birthday parties, and present ethical guidelines.
• Leadership roles mean managers are responsible for subordinates' actions.
• Liaison roles require managers to work with people outside work unit and organization for alliances.

Informational managerial roles:

• Monitor roles are those that are constantly alert for useful information.
• Disseminator role feed information down the chain to employees
• Spokesperson roles are those that put the best face on the organization and activities.

Decisional managerial roles:

• Entrepreneur roles initiate and encourage change and innovation.
• Disturbance handler roles fix problems.
• Resource allocator roles set priorities for resource use.
• Negotiator roles work with others inside/outside the organization to achieve goals.

Skills for managers include:

• Technical skills, the ability to perform a specific job.
• Conceptual skills , the ability to think analytically.
• Human skills (soft skills) , the ability to interact well with people.
• Other skills: the ability to motivate, communicate, and work outside the United States, and high energy levels for global travel and a 24/7 world.

Challenges of Managers

• Managers face 7 challenges: customer response, innovation, quality, efficiency, technological advancements, inclusion/diversity, globalization, ethical standards, sustainable development, and happiness/meaning.

Chapter 1 In-Class

• Career-readiness is the extent of knowledge, skills, and attributes an employee has, which employers desire.
• Organizations are made of people which require learning how to interact with them at all levels.
• Deming's 4 kinds of knowledge: systems, variation, knowledge, and psychology
• Management involves planning, organizing, leadership, and the use of resources.
• General managers are responsible for multiple activities.
• Functional managers are responsible for one activity.
• Roles include: interpersonal, informational, and decisional

Chapter 2: Management Theory

• Peter Drucker is the creator/inventor of modern management -Workers should be treated as assets, organizations can be human communities, there is no business without customers, institutionalized management practices are preferable to charismatic cult leaders

Practical reasons for studying management theory:

• Studying management helps the understanding of the present, to guide action and new ideas, to understand manager's desicions, outside events and results.
• Scientific management is the study of work methods to improve productivity.
• Fredrick Taylor is the "father of scientific management."
• Taylor's 4 principles of science: evaluate tasks scientifically, select workers with the right ability, give workers training and incentives, and use scientific principles to plan work methods.
• Therblig is one of 17 basic motions a worker can perform by Frank and Lillian Gilbreth.
• Gilbreths reinforced the connection between physical movements and worker efficiency
• Fayol was the first to identify major management functions.

Theorists

• Max Weber focused on bureaucracy and better preforming features like hierarchy of authority, formal rules, division of labor, impersonality, and careers based on merit.
• Hugo Munsterberg is the "father of industrial psychology."
• Mary Parker Follett suggested organizations should be operated as "communities."
• Elton Mayo discovered the Hawthorne effect, where employees work harder when they receive added attention.
• Maslow theorized the hierarchy of needs.
• Douglas McGregor created Theory X (pessimistic) and Theory Y (optimistic) views of workers. Systems viewpoint regards the organization as interrelated parts.
• Inputs are resources like people, money, and information.
• Transformation processes are capabilities that turn inputs into outputs.
• Outputs are products, services, profits, and employee satisfaction.
• Feedback is information about how the environment reacts to outputs.
• The contingency viewpoint suggests a manager's approach should vary, and address problems case by case.

Chapter 2 In-Class

• Drucker focused on the practice of management.
• Taylor focused on the principles of scientific management.
• Galbreth used motion studies.
• Charles Clinton Spaulding is the father of African-American management
• Henry Fayol focused on general and industrial management with POLC.
• Weber focused on bureaucracy, an ideal organization based on ability(not status)
• Munsterberg is the father of industrial psychology and devises management strategies to get employees aligned with company interests.
• Follett stressed communication and harmony in organizational families.
• Mayo discovered that better human relations led to more productivity.
• Abraham Maslow theorized the hierarchy of needs.
• Douglas McGregor developed Theory X (dislike work) and Theory Y (self-directed and creative).
• Quantitative management uses statistics/operations research to improve efficiency or effectiveness.
• George Dantzig developed the simplex method.
• Morgan Walker and James Kelley developed the critical path method.

Chapter 3: Ethical Responsibilities

• A triple bottom line represents people, planet, and profit, which measures social, environmental, and financial organizational performance.
• Triple bottom line is measured by a social audit- a systematic assessment of a company's performance in implementing socially responsible program
• Stakeholders are those whose interests are affected by an organization's activities.
• The task environment are the 10 groups that interact that impact the organization; customers, competitors, suppliers, distributors, strategic allies, employee organizations, local communities, financial institutions, government regulators and special interest groups-

Types of Environments

• Employee, the talent' and most important resource
• Economic environments are external interest rates, unemployment, and trade balance.
• Technological environments are characterized by work arrangements and automation.
• Socio-cultural environments are automotive, tourism, and weddings.
• Demographic environments like age, gender, and ethnicity.
• Political/legal environments.
• International environments. Owners include- sole proprietorship, partnership, private investors, employee owners and stockholders
• Board of directors- the group of people elected to oversee the firms activities
• Clawbacks are rescinding tax breaks when firms don't deliver promised jobs.
• Venture capital is money from investors for start-up firms with perceived growth in return for stake.
• Crowdfunding is raising project money by obtaining small amounts from people.

Ethical Issues

• Ethical dilemma is a situation in which one must decide whether to pursue an unethical or illegal action that may benefit you or your organization.
• Most common common ethical misconducts: conflicts of interest, abusive behaviors, violations of health and safety regulations, corruption, discrimination, sexual harassment.

Ethical Approaches

• Utilitarian approach- focuses on the will result in greatest good for greatest number of people
• Individual approach- focuses on Individuals long terests
• Moral rights approach- focuses on respect for the fundamental rights of human beings
• Justice approach- focuses on respect for impartial standards of fairness and equity
• Insider trading is trading a company's stock using confidential information.
• Workplace cheating is unethical behaviors that result from employees gaining what they are not otherwise entitled to.
• Milton Friedman ideology and CSR is very unlikely

Chapter 3 In-Class

• Triple bottom line: Profits, planet (environment), people is measured through social audits.
• Economic vs social environmental trade-offs.
• Values are valves in the organizational system that require conflict resolution.

Addressing ethics in organizations:

• Foster an ethical climate; support policies, procedures, and practice
• Ensure screening and to avoid hiring undesirable or unethical people, codes and training and rewarding good behavior

Chapter 4: Global Management

• The U.S. is number 2 in the world for competitiveness behind Singapore.
• Globalization is trending toward a more independent world economy.
• Three influential effects on globalization: the rise of "global village" and e-commerce, one world market, and megafirms/internet minifirms.
• The global village encompasses communication moving from transportation to electronic exchange.
• E-commerce involves buying/selling goods through computer networks.
• Global economy is the tendency for economies to interact as one market.
• Cross-cultural awareness is the ability to operate in different cultural settings.
• A multinational corporation has operations in several countries.
• A multinational organization is a non-profit with operations in several countries.
• Managers look to make or save money, and avoid tariffs/import quotas by expanding internationally.
• Trade protectionism uses government regulations to limit imports.

Barriers

• Barriers to international trade include tariffs, import quotas, and sanctions/embargos.
• The World Trade Organization monitors/enforces trade agreements.
• The World Bank provides low-interest loans to developing nations.
• The International Monetary Fund assists in smoothing money flow between nations.
• BRICS countries (Brazil, Russia, India, China, South Africa) hold 40% of the world's population.
• Hofestede's model of 4 cultural dimensions: individualism/collectivism, power distance, uncertainty avoidance, and masculinity/femininity

Understanding Cultures

• To bridge cross-cultural gaps, one must understand language, interpersonal space, communication, time orientation, religion, law, and political stability.
• Ethnocentric management think that their native cultures, their languages, and how they behave are superior than the other, and geocentric Managers use whatever works best.

Chapter 5: Planning

• Planning sets goals and decides how to achieve them.
• A business plan outlines a firm's goals, strategy, and standards which measure success.
• A business model outlines the firm's need, operations, components, functions, revenues, and expenses.
• Strategy sets long-term goals and direction.
• Strategic management involves all managers to formulate and implement strategies.
• Strategic management is important since it provides direction/momentum, encourages new ideas, and develops competitive advantage.

Types of Planning

• Strategic planning is done by top managers for the next 1-5 years.
• Tactical planning is done by middle managers for the next 6-24 months.
• Operational planning is done by first-line managers for the next 1-52 weeks.
• Goals are specific commitments achieved within a time.
• SMART goals are specific, measurable, attainable, results-oriented, and time-bound.