MGMT1001 Finals Notes

MGMT ESSAY 15 TOPICS SCIENTIFIC MANAGEMENT 1. Replace each ‘rule of thumb’ method with a scientific method 2. Managers should scientifically select, train, teach and develop workers 3. Managers should cooperate with workers to ensure work has been done according to the scientific method developed 4. Almost equal work distribution between manager and workers

FAYOLISM – 5 FUNCTIONS PLANNING

ORGANISING

COMMANDING

Defining goals, establish strategies, develop plans and coordinate activities

Arranging and structuring work

Implementing plans to personnel

COORDINATING

CONTROLLING

Involves working with people

Evaluation and correction of performance

McGREGOR’S THEORY X AND THEORY Y Theory X • Employees are lazy and unmotivated • Close supervision from managers required • Well-defined rewards and punishments for control Theory Y • Employees do what is good for the company, self-motivated • Managers need to provide opportunities • Authority should be decentralisation

MINTZBERG’S MANAGERIAL ROLES

DESICIONAL

INFORMATIONAL

INTERPERSONAL

RECRUITMENT AND SELECTION Recruitment & Derecruitment • Recruitment – The process of locating, identifying and attracting capable applicants • Derecruitment – Reducing the size of an organisation

Internal search

Advertisements Employee Referrals Employee Agencies

Resignation Dismissal Redundancy (or retrenchment) Redeployment Lay-off Selection Selection –

+ + – + – + – + –

Recruitment Sources Low cost Candidates already familiar with organisation Limited supply Wide distribution Many unqualified candidates Can generate strong candidates May not increase diversity of employees Many candidates Only entry-level positions

Derecruitment Sources Voluntary termination of employment Involuntary termination of employment Dismissal due to a unneeded role, not the fault of the employee Transfer of an employee, maybe downward Temporary involuntary termination

After recruitment is a process that involves predicting and choosing from a pool of candidates who will be most suitable.

Selection Errors –

Rejecting a suitable candidate (reject error) or accepting a candidate who does not perform (accept error)

Realistic Job Preview –

Provides both positive and negative information about the job and company

Application Forms Interviews Written Test Performance/Simulation Test

Selection Devices Can predict job performance Can be subject to bias Good at predicting supervisory positions Simulates jobs, good for evaluating managerial potential

EMPLOYEE COMPENSATION AND BENEFITS • • • • •

Compensations – include rewards, benefits and incentive payments Skill-based pay – pay based on job skills demonstrated by employees Variable pay – pay based contingent on employee performance Profit Sharing Group Incentives/Awards

PERFORMANCE MANAGEMENT • Performance management system – • Performance appraisal – • Performance feedback –

establishing performance standards and appraisal techniques obtaining information on employee performance the presentation of feedback

Performance Appraisal Methods Written Essay is a written description of employee’s strengths and weaknesses Critical Incident focuses on critical behaviour Graphic Rating Scale employee rated based on different performance factors Behaviourally Anchored Rating Scale employee rated based on actual behaviours demonstrated Multi-person Comparison ratings based on comparisons with other employees Management by Objectives rated based on goals achieved 360-Degree Appraisal uses feedback from supervisors and employee’s co-workers

UTILITARIANISM Make crap up.

TUCKMAN AND JENSEN’S FRAMEWORK PLANNING

STORMING

NORMING

People join the group, defining group purpose, structure, leadership

Conflict stage, control over the group

Group structure solidifies, assimilate to common expectations

PERFORMING

ADJOURNING

Performing the task at hand

Group begins to disband, wrapping up activities

HERSEY AND BLANCHARD’S SITUATIONAL LEADERSHIP • Situational Leadership Model – • Readiness –

focuses on follower’s “readiness” the ability and willingness of followers to accomplish a task

TELLING

SELLING

PARTICIPATING

DELEGATING

High-task, Low-relationship leadership

High-task, High-relationship leadership

Low-task, High-relationship leadership

Low-task, Low-relationship leadership

JOB CHARACTERISTICS MODEL SKILL VARIETY

TASK SIGNIFICANCE

TASK IDENTITY

AUTONOMY

JOB FEEDBACK

job has variety of activities

job has substantial impact

degree that the job is required for completion of a task

degree of freedom at work

degree which job provides feedback

PERSONALITY THEORIES “Big 5 Model” EXTROVERSION Sociable Gregarious Assertive Talkative Expressive

ADJUSTMENT

AGREEABLENESS Courteous Trusting Good-natured Tolerant Cooperative Forgiving

Emotionally stable Non-depressed Secure Content

CONSCIENTIOUSNESS Dependable Organised Persevering Thorough Achievement orientated

INQUISITIVENESS Curious Imaginative Artistically sensitive Broad-minded Playful

Myer-Briggs Type Indicator SOCIAL INTERACTION • Extrovert • Introvert

GATHERING DATA • Sensing • Intuitive

DECISION MAKING • Feeling • Thinking

ORGANISATIONAL CULTURE Make more crap up.

INTERPERSONAL COMMUNICATION PROCESS 1. 2. 3. 4. 5. 6.

Sender – Message – Encoding – Channel – Noise – Receiver –

The person who wants to convey some information The information that is to be conveyed Information converted into symbolic form The medium used to transfer the message Any disturbances during the message transfer The recipient of the message

STYLE OF DECISION MAKING • Perceptive • Judgemental

7. Decoding – The translation of the message

TEMPORAL SCOPE AND COMMUNICATION MEDIA • More trust in face-to-face communication, compared to virtual communication • More team member exchange in face-to-face, compared to virtual communication • Communication was generally more effective with more team member exchange, not necessarily information sharing.

POWER • •

Power is the capacity of A to influence B, and for B to act in accordance to A’s wishes Largely based on B’s dependency on A

LEADERSHIP AND POWER • • • • •

Legitimate power: Coercive power: Reward power: Expert power: Referent power:

authority the responsibility to punish or control, based on fear ability to distribute rewards expertise, skill or knowledge desirable personal traits or resources

LEADERSHIP FIEDLER MODEL OF LEADERSHIP LEADER-MEMBER RELATIONS Degree of confidence

TASK STRUCTURE

POSITION POWER

Formalisation of tasks given to subordinates

Degree of influence over power-based activites

PATH-GOAL THEORY DIRECTIVE LEADER

SUPPORTIVE LEADER

Sets expectations of subordinates, specific guidance

Friendly, shows concern for followers

PARTICIPATIVE LEADER

ACHEIVEMENTORIENTED LEADER

Consults group before making a team suggestion

Expects highest performance from followers, sets challenging goals

• Unlike Fielder model, path-goal theory assumes the leader is flexible.

TRANSACTIONAL-TRANSFORMATIONAL LEADERS • Transactional leaders: • Transformational leaders:

guide and motivate through social exchanges to work towards goals stimulate and inspire followers to view old problems in new ways

STRATEGY THREE TYPES OF ORGANISATIONAL CHANGE 1. Changing Structure 2. Changing Technology 3. Changing People

STRATEGIC MANAGEMENT PROCESS

S TRENGTHS WEAKNESSES O PPORTUNITIES T HREATS