Managers,leadership and. decision making

functions off management

planning
directing
organising
controlling

planning

setting objectives
estimating
drawing up plans
conducting analysis

Organising

Management must gather the resources that they need to carry out the actions set as part of planning.

Directing

leading employees through motivation and communication

financial reports

when companies publish details of their financial performance each year

employee performance

reports may provide information on productivity, absence, training costs etc

social performance

can measure a businesses performance in terms of behaving ethically, minimising pollution and creating jobs

leadership

deciding on the direction for a business

management

getting things done by planning,organising,directing and controlling all of part of a business

autocratic

takes all control

democratic

employees can vote

laissez faire

do this or that as u see fit

Tannenbaum and smchmidt

Illustrates a range of potential leadership and management styles

Tells

leader makes all decisions and announces them

Sells

leader makes decision but tries to overcome resistance through discussion

consults

leader listens to advice and suggestions before making decision

joins

allows the group to make the decision with them

Blake Mouton Grid

identifies 5 different leadership styles based on concern for people and concern for production

5 different leadership styles

team management
country club
produce or perish
impoverished
middle of the road

programmed decision

applies a solution from past experience to a routine problem

non programmed decision

deals with unstructured problems which require a unique solution

tactical decisions

short term and regular

strategic decisions

long term and involve a lot of resources and commitment

opportunity costs

the loss of potential gain from other alternatives when one alternative is chosen.

decision tree

1. add the options to the tree
2. add the costs, probabilities and financial results
3. calculate expected value- estimated financial value x probability
4. net gain value gained from the decision- EV of each outcome and minus the costs

stakeholders

individuals or groups who have an interest in a business or are affected by its activities

primary stakeholders

directly affected by the business

secondary stakeholders

indirectly affected by the business

key stakeholders

significant influence or importance

Mendelow's power-interest matrix

an example of stakeholder mapping based on interest and power in the business: keep satisfied, keep informed, manage closely, monitor

win lose approach

if one group gains more, another gains less

win win approach

all groups gain more

approaches to stakeholder management

partnership
participation
consultation
push communications
pull communications

partnership

decisions and actions are taken jointly

participation

lesser extent than partnership, high power, lower interest

consultation

feedback is given

push communications

one way communication from business to stakeholders

pull communications

only engage with stakeholders when they want to