BCOR 370 1st EditionExam # 1 Study GuideManaging Teams and IndividualsOrganization- A systematic arrangement of people to accomplish some specific purposeo Why do we have organizations? Accomplish specific objectives Serve society Provide careerso How do organizations accomplish their objectives? Plan Divide tasks-specialize Motivate Direct ControlManagement (p. 17 in text)- The process of achieving goals, effectively and efficiently, through and with other peopleo Planningo Organizingo Leadingo ControllingKey selling points- You need to understand management to help your organization succeed- You need to be an effective manager for long-term success in an organization- You need to understand management to be effective in achieving goals in your own personal lifeHistorical Foundations of Management- First, managers were just overseers-didn’t really know what else to doHenry Ford- Brought about the assembly line- Standardized parts- Was very savvy- Model T took 12 hours to make- next model took 90 minutes to make- He was very efficient- Combined division of labor, interchangeable parts, and the assembly line- Demonstrated the earliest approach to managementScientific management- The use of the scientific method to determine the “one best way” to perform a job or task- Frederick Taylor-“ The Father of Scientific Management”o Time studieso Differential rate systemso Measure employees in a quantifiable wayFrank and Lillian Gilbreth- Motion Studies- Bricklaying example- They had a dozed childreno Cheaper by the DozenHenry Gant- P. 41 in textLegacy of Scientific Management- Fast, efficient assembly lines- Techniques used from fast food to surgery- Job design, selection, training1920s and 1930s- Management is dominated by “efficiency experts” concentrating on efficiency and productivity above all elseEmphasis of productivity and profitability resulted in unhappy workers, labor unions, and strikesModern Times- Released by 1936- Scientific management principles, concepts, and theories- Shortcomings exposed through the filmScientific Management- Bureaucracy- and organization design marked by specialization, division of labor, authority hierarchies and formal rules and procedures- Max Weber- German Sociologist who observed that the bureaucracy was the dominant organization type because it was the most efficientHuman resource approach- Focus on human behavior- Mary Parker Folleto Wrote about understanding behavior organization- Elton Mayo- The Hawthorne studies o Best level of light- “The Hawthorne Effect”- Money is less of a factor in determining output than group standards, sentiment and security- Realized the importance of individual needs, goals, and expectations- Began to apply techniques from psychological and sociological to understanding individuals in the work placeDecision Making- A process of identifying and selecting a course of action to solve a problemWhat is a problem?- A situation that occurs when a state of affairs differs from the ideal state of affairso When things are not what you want them to be- In the problem solving process, problems must be accurately identified and definedCreativity- Ability to produce novel and useful ideas- Key issue in problem solving and decision making- Innate creativity is often stifled by society, schools, institutions, and organizationsSelf-imposed constraintRational Decision Making Model (pp. 172-173)- Define problem investigate situation and determine cause- Identify decision criteria- Weight the criteria- Generate alternatives- Rate the alternatives on each criterion- Choose, implement, and evaluate the best alternativeDecision Making in Reality- Bounded rationality- Satisfying- Intuition- Escalation of commitmentGroup decision making- Moon survival exerciseAdvantages- Broader perspective- More alternatives- Clarification of ambiguities- More satisfaction and supportDisadvantages- Time consuming- Compromise may satisfy no one- Groupthink (p. 182 in text)- Overkill for simple decisions- No clear decision responsibilityPlanning and Goal SettingGoals- The end toward which efforts is directed. A desire future state or conditionPlan- A blueprint specifying the actions necessary for ataining goalsPlanning- The act of determining goals and the means for achieving themGoals and Planning- Specific and challenging goals produce beter results than vague, easy goals- Long-term goals: broad statements of what you want to be and do- Short-term goals: what you need to do now in order to progress toward your long-term goalsStrategic ManagementMission Statement- “If you don’t have a destination, you’ll never get there”-Harvey Mackay- A broad statement which defines the basic purpose of the person’s or organizations existenceStrategy- A broad plan of action for pursuing objectives and satisfying a missionStrategic management- The process of formulation and implementing the most appropriate strategiesSWOT Analysis- S-Strengths- W-Weakness- O-Opportunities- T-ThreatsLevels of Strategy- Corporate level Strategies- Business level strategies- Functional level strategiesCorporate level strategies- What business are we in?- The BCG matrixo Question Markso Staro Cash Cowo Dog- Proctor and Gamble o Annual net sales > $40 billiono Diverse range of products o Tide-Cash Cowo Biz, Cinch, and Oxydol-dogsBusiness level strategies- How do we compete?- Cost leadershipo Walmarto Generic Brandso Old Navy- Differentiationo Coke vs. Pepsio Valvolineo Jifo Target- Focuso Runner’s World (Magazine)o Volvoo FAOSchwarz- Competitive Strategies Exampleso Purity Milk Differentiation Yellow container blocked UV rays “You’re worth the difference”o Kroger Sold milk at a losso GAP, Banana Republic, Old Navy Focus, Differentiation, and Cost leadershipFunctional level strategies- How do we support the business level strategies?Majestic ManagementMM(Majestic Management)=IOS(Identification of Strengths)+BOS(Buyer of Strengths)+HW(HardWork)SMART Goals- P. 204 in textFive forces that shape competition- P. 234 in textStages of Moral Development (Kohlberg)- P. 146Stretch Goal- P. 214Core Capabilities/competency- P. 240Ethics- Why study ethics?Two reasons to be concerned about ethics- Prudence: It’s the smart thing to do