MGT 201 11th EditionExam # 3 Study Guide Lectures: 17-25Lecture 17 (March 25)Chapter 12: Managing Human Resources Human Resource Management (HRM)- design and application of formal systems in an organization to ensure the effective and efficient use of human talent to accomplish organizational goals Human capital is the economic value of the combined knowledge, experience, skills and capabilities of employees *Look at graph 12.5- The Changing Social Contract Contingent workers- not permanent maintain flexibility and keep costs lowDiscrimination- the hiring or promotion of applicants based on criteria that are not job related Affirmative action- requires employers to take positive steps to guarantee equal employment opportunities for people of protected groups Training- teaching employees how to perform tasks related to their present jobs Development- teaching people broader skills needed for present and future jobs Lecture 18 (April 1) Chapter 12Goals for compensation: A.R.M.SAttract- get the right peopleRetain- keep the right peopleMotivate- make sure the people know you appreciate themSignal- important organizational objectives Lecture 19 (April 3)Chapter 13: Managing Diversity Factors shaping personal bias:Prejudice, discrimination, and stereotypes Managing diversity means supporting diversity in the work force and accommodating those in the work forceChapter 15: Leadership Supervisory leadership (managing)- behavior that provides support and guidance Strategic leadership (leading)- behavior that gives purpose and meaning to organizations visions and creating a positive future Lecture 20 (April 8) Chapter 15Trait approach- leadership perspective that attempts to determine the personal characteristics that great leaders share Behavioral approach- leadership perspective that attempts to identify what good leaders do-what behaviors they exhibit ^^Behavioral approach is based on research conducted at Ohio State and University of MichiganOhio State said that people describe leaders as: initiating structure and consideration Task performance behaviors- actions taken to ensure that the work group or organization reaches its goals Group maintenance behaviors- actions taken to ensure satisfaction with group members Situational approaches- leadership perspective proposing that universal behaviors and traits do NOT exist; it varies from situation to situation Hersey & Blanchard’s situational model- life-cycle theory of leadership postulating that a manager should consider an employee’s readiness before whether task or relationship behaviors are more important Fiedler’s contingency model- situational approach to leadership postulating that effectiveness depends on the fit between the style of the leader and whether the situation is favorable or unfavorable to that leader Lecture 21 (April 10) Chapter 15 Followership- leadership does not exist without followers Alderfer’s ERG Model- people have 3 basic sets of needs that can operate simultaneously-existence needs-relatedness needs-growth needs Chapter 16: Understanding Motivation McClelland’s Needs Theory- need for achievement, affiliation and power; determined by early life experiences Hertzberg’s Two Factor Theory- (two factors listed below)Hygiene factors: characteristics of the workplace that can make people dissatisfied Motivators: factors that make the job more motivating such as feeling of achievement Lecture 22 (April 15)Chapter 16 Process Theories: Performance-Related Beliefs Expectancy theory- theory proposing that people will behave based on their perceived likelihood that their effort will lead to a certain outcome and on how high they value that outcome E - P: employee’s perception of the likelihood that their efforts will enable them to attain their performance goals P -- O: perceived likelihood that performance will be followed by a particular outcome Goal Setting Theory- states that people have conscious goals that energizes them and directs their thoughts and behaviors toward a particular end **Review 4 key components in book Equity Theory- what motivates behavior? Punishment- consequence to decrease the likelihood of the behavior Extinction- withholding or failing to provide a positive consequence to decrease the likelihood of the behavior- no consequence Lecture 23 (April 17)Chapter 19: Managing Quality & Performance Managerial control- systematic process of regulating organizational activities to make them consistent with the expectations established in plans, targets, and standards of performance Principle of exception- compare performance to standards; look at what was expected and what actually happened Feed forward control- control process used before operations begin, including policies, procedures, and rules designed to ensure that planned activities are carried out properly Concurrent control- control process used while plans are being carried out, including directing, and fine tuning activities as they are performed Feedback control- control that focuses on the use of information about previous results to correct deviations from the acceptable standard Budgetary control- setting targets and monitoring expenditures; *cash flows Zero-based budgeting- forget about last year’s budget and start at zeroActivity-based costing- accounting designed to identify streams of activity Lecture 24 (April 22)Chapter 19Liquidity ratios- indicate a company’s ability to pay short-term debts; current ratioLeverage ratios- show the relative amount of funds in the business supplied by creditors and shareholders; meet long-term financial obligations; debt-equity ratio Profitability ratios- indicate management’s ability to generate a financial return on investments;rate of return from capital; return on total assets Activity ratios- measures internal performance with respect to key activities defined by management; inventory turnover, conversion ratio Hierarchical control- monitoring of behavior through rules, policies, reward systems, and written documentation Decentralized control- based on values and assumptions; rules are only used when necessary Total Quality Management (TQM)- infuse quality into every aspect of the business in all day-to-day activitiesThe Role of Six Sigma- quality program designed to reduce defects, lower costs, save time, and improve customer satisfaction Lecture 25 (April 24)Appendix Manufacturing organizations- produce physical outputs like automobile manufacturers and steel