MGMT 3013 Final Exam

Management

the art of getting things done through people, they create value through effectiveness and efficiency

4 functions of management

planning

organizing

leading

controlling

top managers

CEO, Senior VP, etc.; strategic planning in 1-5 years

make long term decisions about overall direction of the organization and establish objectives, policies, and strategies

middle managers

"Branch Manager" "regional manager"; tactic planning done in 6-24 months

implement the policies and plans of the top managers and supervise/coordinate activities of first-line managers

first line managers

Team-leader, Foreman, supervisor; operational planning done in 1-52 weeks

make short-term operating decisions, directing the daily tasks on non-managerial personnel

Technical skills

job-specific knowledge needed to perform well in a specialized field

conceptual skills

ability to think analytically, to visualize an organization as a whole and understand how the parts work together

human skills

ability to work well in cooperation with other people to get things done

internal stakeholders

consist of employees, owners, and the board of directors

the task environment

customers

media

competitors

suppliers

distributors

allies

unions

lenders

governments

interest groups

the general environment

economic forces

international forces

political-legal forces

demographic forces

sociocultural forces

technological forces

external stakeholders

people or groups in the organization's external environment that are affected by it

- task, general environment

social responsibility

manager's duty to take actions that will benefit the interests of society as well as of the organization

globalization

the trend of the world economy toward becoming a more interdependent system

global village

the "shrinking" of time and space as air travel and the electronic media have made it much easier for the people of the globe to communicate with one another

ethnocentric managers

believe that their native country, culture, language, and behavior are superior to all others

polycentric managers

take the view that native managers in the foreign offices best understand native personnel and practices, and so the home office should leave them alone

geocentric managers

accept that there are differences and similarities between home and foreign personnel and practices and that they should use whatever techniques are most effective

How companies expand internationally:

global outsourcing: Using suppliers outside ethe company to provide goods and services

importing

exporting

countertrading

licensing: company allowing a foreign company to pay it a fee or make or distribute its product)

franchising: form of liscencing, a company allows a foreign company to pay it a fee and a share of profit to use their brand name

joint ventures

wholly-owned subsidiary: A foreign subsidiary that is totally owned and controlled by another org

greenfield venture: a foreign subsidiary that the org has built from scratch

Cross Cultural awareness

ability to operate in different culture settings

low-context culture

shared meanings are primarily derived from written and spoken words

high-context culture

people rely heavily on situational cues for meaning when communicating with others

mission statement

expresses purpose of the organization

vision statement

- long-term goal describing "what" an organization wants to become

- clear sense of the future and the actions needed to get there

SMART goals

Specific

Measurable

Attainable

Results-oriented

Target dates

MBO (management by objectives)

1. Jointly set objectives

2. develop action plan

3. periodically review performance

4. give performance appraisal and rewards, if any

*meant for motivation instead of controlling

for MBO's to be successful:

- top management must be committed

- it must be applied organization-wide

- objectives must "cascade"

cascading goals: ensuring strategic goals at top level align or cascade downward with more specific short term goals at lower levels

growth strategy

involves expansion - as in sales revenues, market share, number of employees, or number of customers

SWOT analysis

strengths (internal)

weaknesses(internal)

opportunities(external)

threats(external)

Porter's Five Competitive forces

1. threat of new entrants

2. bargaining power of suppliers

3. bargaining power of buyers

4. threat of substitute products or services

5. rivalry among competitors

Porter's Four Competitive Strategies

1. cost-leadership

2. differentiation

3. cost-focus

4. focused-differentiation

rational model of decision making

- explains how managers should make decisions

- assumes managers will make logical decisions that will be optimum in furthering the organizations interest

Identify the problem

Roadmap to ethical decision making

Evaluate alternatives and select solution

Implement and evaluate solution

decision making styles

directive: action oriented, focuses on facts

analytical: careful decision makers, lots of info and choices

conceptual: rely on intuition, log term perspective

behavioral: people oriented

organizational culture

system of shared beliefs and values that develops within an organization and guides the behavior of its members

types of organizational culture

clan culture: family like workplace

adhocracy culture: values innovation & flexibility

market culture: competitive focused on profit

hierarchy culture: structure, control, and stability

clan culture

- internal focus

- values flexibility

- employee-focused

- encourages collaboration among employees

Adhocracy culture

- external focus

- values flexibility

- attempts to create innovative products by being adaptable, creative, and quick to respond to changes in the marketplace

market culture

- external focus

- values stability

- driven by competition and a strong desire to deliver results

hierarchy culture

- internal focus

- values stability

- apt to have a formalized structured work environment aimed at achieving effectiveness through a variety of control mechanisms

- chain of command in place that is to be followed to maintain order

the 3 levels of organizational culture

observable artifacts: physical manifestations of culture

espoused values: explicitly stated values and norms

basic assumptions: core values of the organization

how employees learn culture

symbol

story

hero

rites and rituals

centralized authority

important decisions are made by higher-level managers; single person or group makes decisions

decentralized authority

important decisions are made by middle level and supervisory level managers

types of organizational structures

simple

functional

divisional

matrix

horizontal design

hollow

modular

simple structure

authority is centralized in a single person with few rules and low work specialization

functional structure

people with similar occupational specialities are put together in formal groups

divisional structure

people with diverse occupational specialties are put together in formal groups by similar products, customers or geographic regions

horizontal design

workgroups are used to improve horizontal relations and solve problems throughout the organization

- team based structure

- breaks down internal boundaries

hollow structure

the organization has a central core of key functions and outsources other functions to vendors who can do them cheaper and faster

- network structure

modular structure

firm assembles product chunks, or modules, provided by outside contractors

least threatening: Adaptive change

weve seen something like this before

somewhat threatening: innovative change

this is new to the company

very threatening: radically innovative change

involves introducing a practice that is new to the indsutry

Lewin's Change Model

Unfreezing: creating the motivation to change

Changing; learning new ways of doing things

Refreezing: making new ideas normal

components of attitudes

affective: what do you like or prefer

cognitive: what gets you and what do you miss

behavioral: what impacts your behavior

cognitive dissonance

psychological discomfort a person experiences between his or her cognitive attitude and incompatible behavior

emotional intelligence

ability to cope, empathize with others, and be self motivated

being:

Self awareness

Self management

Social awareness

Relationship management

different motivation perspectives

content

process

job design

reinforcement

Maslow's hierarchy of needs

- self actualization: fulfilling your highest potential, becoming everything you are capable of being

- esteem: need for respect and recognition

- love: relationships

- safety: desire for security, stability, and freedom

- physiological: essential requirements for human survival like food, water, air

Douglas McGregor's Theory X Theory Y Theory

It isnt enough for managers to be liked; they need to be aware of their attitude towards employees

Theory X

represents a pessimistic, people will work but rather not, negative view of workers

-motivate transactionally

- workers are irresponsible, resistant to change, lack ambition, hate work, and want to be led

- safety and security

- physiological

Theory Y

finds enthusiasm in their work, positive view of workers

- workers are considered capable of accepting responsibility, self-direction, self control an being creative

- self-actualization

- esteem

- love

Acquired needs theory

states that three needs - achievement, affiliation, and power - are major motives determining people's behavior in the workplace

Herzberg's 2 factor theory

proposed that work and satisfaction and dissatisfaction arise from two different factors- work satisfaction from so called motivation factors and work dissatisfaction from so-called hygiene factors

Equity Theory

focuses on employee perceptions as to how fairly they think they are being treated compared to others

Expectancy theory

suggests that people are motivated by two things: 1, how much they want something, 2, how likely they think they are to get it

• Effort

  • Expectancy : will i be able to perform at the desired task?

• Performance

  • Instrumentality: what outcome will i receive if i perform at this level?

• Outcomes

  • Valence: how much do i want the outcome

goal setting theory

1. goals should be specific

2. goals should be challenging

3. goals should be achievable

4. goals should be linked to action plans

job enlargement

increase # of tasks

job enrichment

adding responsibility, achievement, and advancement

project teams

work to do creative problem solving, often by applying the specialized knowledge of members of a cross-functional team. purpose often changes, has effectiveness and requires critical thinking

Stage 1: Forming

process of getting oriented and getting acquainted

what are we?

Stage 2: Storming

emergence of individual personalities and roles and conflicts within the group

what are we fighting for and who does what?

Stage 3: Norming

conflicts are resolved, close relationships develop, and unity and harmony emerge

can we agree on roles and work as a team?

Stage 4: Performing

members prepare for disbandment

can we do the job properly?

5 conflict handling styles

avoiding: avoids issue

obliging: accommodates, looks for more info

dominating: requiring yourself to take position, forcing

compromising: art of losing. negotiation overlaps, both partys are willing to give up something in return of something else

integrating: highest form of negotiation, “how do i let you win”, in complex situations you have to have this, collaborating

6 sources of power

legitimate power

reward power

coercive power

expert power

informational power

referent power

legitimate power

results from manager's formal positions within the organization

reward power

results from manager's authority to reward their subordinates

coercive power

results from managers authority to punish their subordinates

expert power

results from one's specialized information or expertise

referent power

derived from one's personal attraction

behavioral leadership

approaches attempt to determine the distinctive styles used by effective leaders

contingency leadership model

determines if a leader's style is task oriented or relationship oriented and if that style is effective for the situation at hand

transactional leadership

focuses on clarifying employees' roles and task requirements and providing rewards and punishments contingent on performance

transformational leadership

transforms employees to pursue organizational goals over self-interest

informal groups

created for friendship

formal groups

created to accomplish certain goals

team

a collection of people with a common purpose and commitment

work teams

focuses on repitition and efficiency

cross functional teams

groups of people from different departments or specialties (like marketing, engineering, finance) working together; doesnt work, they dont speak teh same language so theres a goal displacement

self managed teams

modular structure; groups of employees who collectively manage their own daily tasks

virtual teams

groups of people who work together on projects and tasks but are geographically dispersed; people shoudl get together before meeting virtually

Stage 5: Adjourning

preparing for disbandment

can we help members transition out?

Punctuated equilibrium

people dont have to follow each form storm norm stage in sequence; it establishes period of stable functioning until an event causes change

Building effective teams

Collaboration is the foundation of teamwork and can be good but if it goes too far it can waste your time

Teams work better when they have performance goals and feedback as well as through mutual accountability and interdependence

Trust = teamwork

Dysfunctional Conflict (bad)

an unhealthy disagreement that harms relationships, damages morale, and hinders an organization's progress

Functional conflict (good)

a healthy disagreement focused on ideas, not people, that promotes innovation, better decisions, and improved performance

Post Mortem

engages critical thinking by learning after the fact; a collaborative, post-project review to analyze what went right, what went wrong, and what can be improved for future endeavors

4 kinds of conflict

1. personality: personality clashes

2. envy: what others have

3. intergroup: workgroups, teams, and departments

4. cross cultural: between cultures

devils advocate

engages critical thinking by someone who intentionally takes the opposing viewpoint to challenge a proposed idea or decision