mgt 3200 fall 15 exam 1 objectives from notes INVITATION TO MANAGEMENT What is management Accomplishing goals ef ciently Giving customers what they want is desired results But doing it well and at low cost is ef ciency Is X company being more effective or less Market share to tell you effectiveness Cost relative to past competitors tells you efficiency What are the 2 key concerns of management Effectiveness and ef ciency One is the means and one is the end Ef ciency is the ends to effectiveness What is effectiveness concerned with What is ef ciency concerned with Effectiveness centers around market share It s concerned with giving customers Ef ciency centers around lowering cost inverse relationship what they want when they want it Achieving goals Market share up and cost down Effective and Ef cient Market share down and cost up Ineffective and Inef cient How are effectiveness and ef ciency related The more an organization becomes concerned about ef ciency the more dif cult it Ef cient organizations tend to be effective ones but it isn t a guarantee Question becomes to be effective will be like which of the following isn t true Efficiency doesn t always equal effectiveness but they tend to be What is your most important resource as a manager Human resources Does that mean every manager is an effective manager of human resources Nope Rather than selecting the best people for the job bad managers select people who are worse than them who suffers The manager Mix of incompetency and jealousy of 1 30 Is management art or science When is it considered a science an art Both As practice it s an art As an academic discipline it s a science developing Does everyone manage the same and is there a one size ts all No theories analyzing etc Equi nality No set formula Widely different styles of managing can be successful How did management become important and why is it still signi cant today The industrial revolution The skills of the craftsman are transferred to the machine a lot of unskilled laborers are introduced Since there s more people involved in production there is a necessity for someone to manage them Many parts are making a whole The owner used to do the managing but thanks to the Industrial Revolution What then The owner can t manage it himself anymore so he has to bring in someone in This is the pivotal event The division of labor created professional managers productivity goes up prices go down demand goes up 1 What is the basic change Skills of the craftsmen are transferred to the machine 2 Which of the following did t happen Industrial Revolution Skills of craftsman transferred to the machine Division of labor Inability of owner manager combination What was the basic change in the industrial revolution Owners were no longer able to manage everything so this created the needed for a professional manager What happened to productivity supply prices and demand as a result of the industrial revolution Supply went up prices went down and demand went up Yay capitalism What was the pivotal event of our time according to Drucker Industrial revolution Why do most businesses fail Poor management Bad decision making of 2 30 Effectiveness is often achieved through inef ciency What does a rst line manager do What are the names associated with 1st line management Short term focus Job Implementation of top line initiatives by their operative employees Largest group of managers that come from labor The best operative employee becomes the rst line manager Then they re managing the friends they used to work with and it gets tricky Only group of managers that doesn t manage other managers Manager engaging in an activity Where are they located What does a middle level manager do Ef ciency oriented Also aids in implementation Two I s Integrate Managing rst line managers and their work groups Must coordinate groups and get them going in the same direction Horizontal coordination Interpret Deliver plans from top managers Vertical coordination work What is corporate downsizing What happens in corporate downsizing What level of management is most adversely affected Ef ciency driven Cutting cost Retrenchment strategy fall back and dig a trench The goal is that it will help with effectiveness but it isn t necessarily true that it will Middle managers get cut and it hinders planning So then you re only concerned with the day to day and you re in survivor mode Survivor mode is when the employees are scared of more downsizing and feel guilty that their friends got red and they didn t They end up being inef cient and you re back to square one VICTIMS fared better than the survivors after a period of time The survivors just get more work and stress Four main points 1 Management level are eliminated from the middle 2 The managers who remain are asked to do more work 3 Staff management jobs get farmed out to consulting rms HR payroll legal of 3 30 4 Management information systems are implemented Quicker and easier to communicate with rst line which is a substitute for the middle managers What does a top manager do What are the names associated with top management Vision A year down the line Overall goals oriented They set the strategy the grand scheme Positioning Resource allocation Effectiveness oriented Names Matching up internal strengths with external opportunities They also legitimize the organization in the eyes of the public CEO CFO CTO Chairman of the board What is the difference between a line manager and a staff manager If you re a decision maker you re a line manager If you re there to support and provide advice based on your area of expertise you re a staff manager Which one has the greatest contact with the organizations external environment Top Where are line managers EVERYWHERE OK DON T MISS THIS QUESTION Where are staff managers Typically the middle Line managers are located in all three levels of management If you re in the chain of command you re a line manager The staff manager is just giving advice about it The staff manger might know the most about it but they don t get to make the decision What is the difference between a functional manager and a general manager Managing one area vs managing many areas As you go up the managing pyramid general managers increase The top manager Functional managers are the experts in their area has to know the most Technical skills take you to the middle levels of management of 4 30 Far more con ict in general management due to the number of parties