Business Unit 1
ORGANIZATION: a group of people working together to achieve a common purpose
Are organizations Open or Closed systems?
What does it mean that ORGANIZATIONS are OPEN SYSTEMS:
interrelated parts that function together,
interact with the environment,
resource inputs turn into product outputs,
feedback tells the organization how to satisfy customers
What should people in organizations be viewed as Intellectual Capital
Why should PEOPLE within an ORGANIZATION be considered as INTELLECTUAL CAPITAL:
people are the ultimate foundations of organizations
knowledge workers are people whose minds are critical assets to employers and add intellectual capital
Intellectual capital: collective brainpower or shared knowledge of a workforce
Globalization: worldwide interdependence of resource flows, product markets & business competition that characterize the new economy
national boundaries of the world disappeared because of globalization
Workforce Diversity:
reflects differences concerning gender, age, race, ethnicity, religion, sexual orientation & bloodiness
challenges and offers opportunities for employers
The glass ceiling effect: an invisible barrier that prevents visible minorities from rising above a certain level
How are organizations changing/TRENDS in the NEW workplace:
TOTAL QUALITY MANAGEMENT: a commitment to continuous improvement, product quality, and customer satisfaction
LEVELS OF MANAGEMENT AND ROLES: top, middle, first line
top management: responsible for the performance of an organization as a whole or one of its larger parts (CEO)
middle managers: in charge of relatively large departments or divisions (deans, plant managers)
first line: project managers (coordinate complex projects with task deadlines) department heads(in charge of a small group of non-managerial workers)
FOUR FUNCTIONS OF MANAGEMENT: planning, controlling, leading, organizing
planning: setting performance objectives and deciding how to achieve them
controlling: measuring performance and taking action to ensure desired results
leading: inspiring people to work hard to achieve high performance
organizing: arranging tasks, people, and other resources to accomplish the work
HENRY MINTZBERG – Set of roles that managers perform: interpersonal, informational, decisional
Interpersonal: involve interactions with others inside to outside the workplace (figurehead, leader, liaison)
informational: involve the transfer of information (monitor, spokesperson)
decisional: using the information to make decisions to solve problems (entrepreneur, negotiator)
ROBERT KATZ – Essential skills of Management: technical, human, conceptual
technical: the ability to apply expertise and perform a special task with proficiency
human: the ability to cooperate with others
conceptual: the ability to think analytically and achieve integrative problem solving
Mintzberg’s set of 10 managerial roles: figurehead, leader, liaison, monitor, disseminator, spokesperson, entrepreneur, disturbance handler, resource allocator, negotiator
3 Branches of Classical Management: scientific, administrative, and beaurocratic
Scientific Management: Fredrick Taylor, The Gilbirths
Administrative Management: Mary Parker Follet, Henri Fayol
Beaurocratic management: Max Weber
How did Fredrick Taylor contribute to Scientific Management: rules of motion, proper working conditions, training/support, came up with ways to increase worker efficiency
The Gilbreths: created motion study to be efficient, taking out extra stuff
Motion Study: reducing a task to its basic motions
•Henri Fayol – Five Rules of Management: foresight, organization, command, coordination, control
foresight: complete plan for the future
organization: provide and mobilize resources
command: to lead workers
coordinate: fit diverse efforts together
control: make sure things happen accordingly
•Henri Fayol – 3 Key Principles of Management
•Mary Parker Follet: administrative, forward-thinking principles, inter-related factors, groups, and human cooperation
What are Bureaucratic organizations characterized by? Based on logic and order, legitimate authority
Behavioural Management Approach: Hawkthornes studies, Maslow’s theory, and McGregor’s x & y assumes that people are social and self-actualizing
Maslow’s Hierarchy of Human Needs: psychological deficiency a person feels compelled to satisfy before self-actualization
McGregor’s Theory X: managers/micromanagers do all the work, lack ambition, micromanager irresponsible, resist change
McGregor’s Theory Y: workers are willing to work, capable of self-control, willing to accept responsibility, imaginative, and creative, managers allow workers to figure stuff out
Management Science: mathematical techniques for management problems
ORGANIZATION: a group of people working together to achieve a common purpose
Are organizations Open or Closed systems?
What does it mean that ORGANIZATIONS are OPEN SYSTEMS:
interrelated parts that function together,
interact with the environment,
resource inputs turn into product outputs,
feedback tells the organization how to satisfy customers
What should people in organizations be viewed as Intellectual Capital
Why should PEOPLE within an ORGANIZATION be considered as INTELLECTUAL CAPITAL:
people are the ultimate foundations of organizations
knowledge workers are people whose minds are critical assets to employers and add intellectual capital
Intellectual capital: collective brainpower or shared knowledge of a workforce
Globalization: worldwide interdependence of resource flows, product markets & business competition that characterize the new economy
national boundaries of the world disappeared because of globalization
Workforce Diversity:
reflects differences concerning gender, age, race, ethnicity, religion, sexual orientation & bloodiness
challenges and offers opportunities for employers
The glass ceiling effect: an invisible barrier that prevents visible minorities from rising above a certain level
How are organizations changing/TRENDS in the NEW workplace:
TOTAL QUALITY MANAGEMENT: a commitment to continuous improvement, product quality, and customer satisfaction
LEVELS OF MANAGEMENT AND ROLES: top, middle, first line
top management: responsible for the performance of an organization as a whole or one of its larger parts (CEO)
middle managers: in charge of relatively large departments or divisions (deans, plant managers)
first line: project managers (coordinate complex projects with task deadlines) department heads(in charge of a small group of non-managerial workers)
FOUR FUNCTIONS OF MANAGEMENT: planning, controlling, leading, organizing
planning: setting performance objectives and deciding how to achieve them
controlling: measuring performance and taking action to ensure desired results
leading: inspiring people to work hard to achieve high performance
organizing: arranging tasks, people, and other resources to accomplish the work
HENRY MINTZBERG – Set of roles that managers perform: interpersonal, informational, decisional
Interpersonal: involve interactions with others inside to outside the workplace (figurehead, leader, liaison)
informational: involve the transfer of information (monitor, spokesperson)
decisional: using the information to make decisions to solve problems (entrepreneur, negotiator)
ROBERT KATZ – Essential skills of Management: technical, human, conceptual
technical: the ability to apply expertise and perform a special task with proficiency
human: the ability to cooperate with others
conceptual: the ability to think analytically and achieve integrative problem solving
Mintzberg’s set of 10 managerial roles: figurehead, leader, liaison, monitor, disseminator, spokesperson, entrepreneur, disturbance handler, resource allocator, negotiator
3 Branches of Classical Management: scientific, administrative, and beaurocratic
Scientific Management: Fredrick Taylor, The Gilbirths
Administrative Management: Mary Parker Follet, Henri Fayol
Beaurocratic management: Max Weber
How did Fredrick Taylor contribute to Scientific Management: rules of motion, proper working conditions, training/support, came up with ways to increase worker efficiency
The Gilbreths: created motion study to be efficient, taking out extra stuff
Motion Study: reducing a task to its basic motions
•Henri Fayol – Five Rules of Management: foresight, organization, command, coordination, control
foresight: complete plan for the future
organization: provide and mobilize resources
command: to lead workers
coordinate: fit diverse efforts together
control: make sure things happen accordingly
•Henri Fayol – 3 Key Principles of Management
•Mary Parker Follet: administrative, forward-thinking principles, inter-related factors, groups, and human cooperation
What are Bureaucratic organizations characterized by? Based on logic and order, legitimate authority
Behavioural Management Approach: Hawkthornes studies, Maslow’s theory, and McGregor’s x & y assumes that people are social and self-actualizing
Maslow’s Hierarchy of Human Needs: psychological deficiency a person feels compelled to satisfy before self-actualization
McGregor’s Theory X: managers/micromanagers do all the work, lack ambition, micromanager irresponsible, resist change
McGregor’s Theory Y: workers are willing to work, capable of self-control, willing to accept responsibility, imaginative, and creative, managers allow workers to figure stuff out
Management Science: mathematical techniques for management problems
